The Department for Work and Pensions is set to begin checking the bank accounts of low-income state pensioners in a bid to crack down on overpayments.
The measure will initially focus on benefits where incorrect payments are currently highest - and is set to include Universal Credit, Pension Credit and Employment and Support Allowance.
Alongside those, "other benefits could be added with the approval of Parliament in the future through affirmative regulations," the DWP said.
When the DWP comes across any sign that a claimant is ineligible for a specified benefit, it may use this to verify eligibility for other benefits.
The Department for Work and Pensions is set to begin checking the bank accounts of low-income state pensioners
PAFor example, the DWP explains that if information leads them to conclude a claimant is ineligible for Pension Credit, they will also review the person's eligibility for Housing Benefit.
The department has emphasised that human oversight will remain central to the process - but the bank account-trawling has drawn the ire of privacy and disability campaigners.
Under current rules, the DWP can only request details of a bank account holder's transactions if there are "reasonable grounds" to suspect them of fraud.
However, Disability Rights UK warned: "Using algorithms to trawl a large number of accounts at once (on the presumption of guilty until proven innocent) removes our right to privacy, and the chances of false positive matches for fraud or error are incredibly high."
Meanwhile, privacy campaigners Big Brother Watch have already warned that the potential for "expansive surveillance, high rates of error, and disproportionate impact on people in vulnerable positions is huge".
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The DWP will soon be able to access pensioners' bank accounts
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The DWP has also stressed that the state pension is explicitly excluded from its power - and cannot be added by regulations.
The new verification system represents a significant shift in how the DWP monitors benefit eligibility for vulnerable pensioners.
And it comes as the department has reported a significant increase in Pension Credit uptake - with 50,000 extra awards issued since last summer, a 64 per cent increase compared to the same period last year.
As part of the annual benefits uprating exercise, the minimum guarantee for Pension Credit increased on April 7.
Eligible single pensioners will now receive £227.10 each week, up from £218.15.
Couples will see their payments rise from £332.95 to £346.60 per week.
The DWP has also confirmed that Pension Credit is now worth an average of £4,300 a year to recipients.
For those considering making a new claim for Pension Credit and wondering how long it may take, the DWP recently said that nearly 78 per cent of all new Pension Credit claims are processed within the target timeframe of 50 working days.
This covers the entire process from initial application to the award decision letter being sent.
Older people on low incomes making new claims this month could therefore receive their first payment by mid-June.
