Loss of benefit as a penalty for benefit fraud

15.4.2026

  | Her Majesty's Revenue and Customs

 Changes to the way benefits can be reduced or stopped as a penalty for a benefit fraud offence following the Welfare Reform Act 2012. 


The Welfare Reform Act 2012 introduced tougher penalties for people who commit benefit fraud.

Benefits can be reduced or stopped if a claimant, their partner or a family member is convicted of a benefit fraud offence or accepts an administrative penalty for such an offence. An administrative penalty is a financial penalty offered by DWP as an alternative to prosecution.

https://www.gov.uk/government/publications/loss-of-benefit-as-a-penalty-for-benefit-fraud