DWP and claiming

Can DWP check your bank account? The 2026 rules

Written by James Whitfield · Updated 22 October 2026 · 6 min read · Checked against 2026/27 DWP & HMRC rates
Contents (7 sections)
  1. Quick answer: can DWP check your bank account?
  2. What can DWP see when it investigates fraud?
  3. What are the new eligibility checks in 2026?
  4. Which benefits are covered by the bank checks?
  5. Do the checks apply to pensioners?
  6. What should I do if I'm worried?
  7. Deliberate deprivation and cash withdrawals
Quick answer: can DWP check your bank account?
  • Yes, in two ways. When it is investigating suspected fraud, DWP can require a bank to give it information about your account.3
  • Under the Public Authorities (Fraud, Error and Recovery) Act 2025, which became law on 2 December 2025, DWP can also ask banks to check accounts that receive certain benefits against eligibility rules and flag the ones that match, for example savings above the Universal Credit limit.12
  • With the new checks, DWP does not see your transactions or what you spend money on.12 The checks cover Universal Credit, Pension Credit and Employment and Support Allowance. The State Pension is excluded by law.1
  • A flag is not a decision. A person at DWP looks at it, and no benefit decision is made on the bank data alone.1

Will your savings affect your benefits?

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Working age means Universal Credit rules; State Pension age (66, rising to 67) means Pension Credit rules.

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What can DWP see when it investigates fraud?

Authorised DWP officers have long had legal power to require information from banks and building societies when they are investigating a benefit offence. This was extended to banks by the Social Security Fraud Act 2001 and is used for specific investigations, not as a routine check on everyone claiming.3

In an investigation, DWP can ask for statements and account details relevant to the period it is looking at. It does not need your permission to do this. Separately, DWP or the council may simply ask you to send bank statements during a review of your claim, which is routine.

What are the new eligibility checks in 2026?

The eligibility verification measure works differently from a fraud investigation. DWP sets criteria, and banks check accounts that receive a specified benefit, and linked accounts, against them. Where an account meets the criteria, the bank tells DWP the account details, the holder's name and date of birth, and how the account meets the criteria.1

Banks are not allowed to share more than that, such as transaction details, and can be penalised if they do.1 DWP says it will not access people's bank accounts or see where they spend their money.2

The power covers Universal Credit, Pension Credit and Employment and Support Allowance. Other benefits could only be added with Parliament's approval, and the State Pension is explicitly excluded.1 DWP is introducing the checks gradually with banks, under a code of practice.

Which benefits are covered by the bank checks?

The eligibility checks under the 2025 Act are limited to three benefits. Adding any other needs Parliament's approval, and the State Pension can't be added at all.1

Universal CreditCovered
Pension CreditCovered
Employment and Support AllowanceCovered
State PensionExcluded by law
Other benefits (PIP, Child Benefit and the rest)Not covered now

Separately from these checks, DWP can still ask a bank for information about a particular person when it is investigating suspected fraud, whichever benefit they get.3

Do the checks apply to pensioners?

Not to the State Pension: it is excluded and cannot be added.1 They can apply to Pension Credit, because Pension Credit is means-tested.

Pension Credit has no upper savings limit, but savings over £10,000 are counted as £1 a week of income for every £500.5 If your savings have grown, report it to the Pension Service so your award is right.

What should I do if I'm worried?

If you have reported your circumstances accurately, you do not need to do anything. A check simply confirms what DWP already knows.

If your savings or income have changed and you have not told DWP, report it now: through your Universal Credit journal, or to the Pension Service or ESA office. Universal Credit stops if you have more than £16,000 in savings, and savings over £6,000 reduce it.4

Keep simple records of large payments in or out, such as an inheritance, a refund or money you are holding for someone else, so you can explain them if asked. If you receive a letter about an overpayment or an investigation, get free advice from Citizens Advice or a welfare rights adviser before you reply.

Deliberate deprivation and cash withdrawals

DWP looks closely at large sums leaving an account shortly before or during a claim, such as cash withdrawals, gifts or transfers to family. If it decides money was given away to get or keep benefit, it can treat you as still having it.

There is often a good explanation, such as paying off a debt, a funeral or essential repairs. Keep receipts and records, because evidence of why the money was spent is what matters.

Free next step: Free Universal Credit calculator 2026/27 UK (free)

Related guides

The questions most people ask after reading this.

Frequently asked questions

Can DWP check my bank account without my permission?
Yes. In a fraud investigation DWP can require your bank to give it information without your consent. Under the new 2025 powers, banks can also be asked to flag benefit accounts that meet set criteria, though DWP does not see your transactions.
Does DWP check bank accounts of pensioners?
Not for the State Pension, which is excluded from the new checks by law. Pension Credit is included, because it is means-tested.
Which benefits are covered by the new bank checks?
Universal Credit, Pension Credit and Employment and Support Allowance. Other benefits can only be added with Parliament's approval.
Can DWP see what I spend my money on?
Not under the eligibility checks. Banks only share account details, the holder's name and date of birth, and how the account meets the criteria. Transaction details can be requested in a fraud investigation.
What should I do if I have undeclared savings?
Report them to DWP as soon as possible, for example in your Universal Credit journal or to the Pension Service. It is far better to tell DWP yourself than for it to find out later.
Is DWP checking bank accounts in 2026?
The power became law on 2 December 2025, and DWP is bringing the checks in gradually with banks, under a code of practice. They cover Universal Credit, Pension Credit and Employment and Support Allowance, not the State Pension.
Does DWP check bank accounts for PIP?
Not under the new eligibility checks, which cover only Universal Credit, Pension Credit and Employment and Support Allowance. DWP can still ask a bank for information if it is investigating suspected fraud.

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Sources & references

The figures and rules in this guide are drawn from the official UK government sources below. Rates are the confirmed 2026/27 amounts. Each link opens the relevant official page in a new tab.

  1. DWP factsheet: eligibility verification powers (Public Authorities (Fraud, Error and Recovery) Bill) www.gov.uk/government/publications/public-authorities-fraud-error-and-recovery-bill-2025-factsheets/dwps-eligibility-verification-powers-in-the-public-authorities-fraud-error-and-recovery-bill-factsheet
  2. DWP: Fraudsters face tougher action as government gains new powers to tackle benefit fraud (3 December 2025) www.gov.uk/government/news/fraudsters-face-tougher-action-as-government-gains-new-powers-to-tackle-benefit-fraud
  3. Social Security Administration Act 1992, section 109B (power to require information) www.legislation.gov.uk/ukpga/1992/5/section/109B
  4. Universal Credit: eligibility www.gov.uk/universal-credit/eligibility
  5. Pension Credit: what you'll get www.gov.uk/pension-credit/what-youll-get
Verified against published UK government guidance.
Independent guide only. Written using published 2026/27 DWP and HMRC figures. Not an official government service. For case-specific guidance, contact Citizens Advice or a welfare-rights adviser. Methodology · Editorial standards

Written and reviewed by James Whitfield and the editorial team.

Every figure is checked against current GOV.UK guidance and reviewed for the 2026/27 tax year. We explain the numbers in plain English with worked examples. Editorial standards · About us