A recent government admission reveals that over 60% of parents who had their child benefit payments suspended following fraud checks by HM Revenue & Customs (HMRC) were, in fact, rightful claimants. The action stemmed from the use of incomplete Home Office travel data intended to identify fraudulent claims.
As of late November 2025, official figures confirm that out of approximately 23,800 parents initially targeted, nearly 15,000 have had their eligibility reinstated. The scale of this error, now four times greater than previously disclosed, has prompted significant concern among MPs, advocacy groups, and those affected.
The findings highlight critical issues in the collection and processing of travel data and raise broader questions about the safeguards in government data-driven compliance interventions.
Government Admits Error in Benefit Fraud Checks
HMRC’s anti-fraud operation, introduced as a national rollout in late summer 2025, was based on data from the Home Office tracking international travel. The intention was to flag possible fraudulent claims where parents appeared to have left the country.
However, a written parliamentary response from Exchequer Secretary to the Treasury, Dan Tomlinson, disclosed that, as of 30 November 2025, 14,994 of 23,794 suspended claims were found to be legitimate.
This admission reveals a significant overreach, with nearly two-thirds of those targeted being residents eligible for child benefit. The scale of erroneous suspensions was uncovered by Conservative MP Andrew Snowden through formal parliamentary questions.
The figures now indicate that only about 4% of these cases actually involved incorrect claims, resulting in widespread disruption for thousands of families.
How the HMRC Anti-Fraud Scheme Unfolded
Initially, a pilot scheme was conducted in autumn 2024. The full national rollout followed the next year, using Home Office travel datasets to match benefit claimants to international departures and arrivals.
Numerous errors arose due to incomplete or inaccurate data such as unconfirmed passenger bookings or an absence of confirmed re-entry to the UK. Following public and political scrutiny, the Chief Executive of HMRC, John-Paul Marks, informed the Treasury select committee in October that fewer than 4,000 of the then-reviewed cases had been resolved in favour of claimants.
The considerable increase to nearly 15,000 legitimate cases was only acknowledged in December after mounting pressure and further investigation.
Data and Parliamentary Response
Dan Tomlinson’s written answer to Parliament states that 7,781 cases remain under review, while 1,019 have now been confirmed as ineligible for child benefit. The process was paused in November, with no new cases opened during that month, as HMRC reviewed previously suspended accounts.
Andrew Snowden described the revelations as “deeply troubling,” noting the distress caused to families who depend on child benefit. “These figures show the importance of accuracy in data-driven policy, especially when it impacts people’s ability to provide for their families,” Snowden said.
Impact on Affected Families
Families nationwide reported significant stress and hardship as a result of the abrupt suspension of benefit payments. Documented cases include parents facing suspension after being incorrectly flagged as living abroad due to data matching errors.
One mother in East Yorkshire, Tina Pearson, said she was notified about benefit suspension due to supposed travel to Spain, despite not having left the country in three years. In other cases, travel plans which did not materialise or medical emergencies led to parents being wrongly marked as ineligible.
HMRC has issued apologies in some cases and restored benefits, but the incident has exposed flaws in reliance on administrative data where error rates have direct consequences for vulnerable recipients.
Concerns Over Data Integrity and Oversight
Digital rights and privacy advocates have raised further concerns about HMRC’s handling of personal data and their approach to the compliance scheme.
The Open Rights Group argues that, in law, responsibility for correct data processing lies with the government, but this had been imposed on claimants instead. Legal specialists questioned the absence of intervention from the Information Commissioner’s Office (ICO).
with advocates calling for clearer oversight, more robust auditing, and transparency relating to data sharing, risk assessments, and decisions to remove certain checks, such as Pay As You Earn (PAYE) verification, from the nationwide rollout.
Final Summary
The HMRC’s child benefit compliance checks have resulted in a significant proportion of legitimate recipients facing wrongful suspension, with official figures showing over 60% of those targeted were ultimately found eligible.
The episode underscores the risks of relying on incomplete data for major policy actions, and highlights the importance of robust oversight in government compliance and data use
As thousands of families continue to await resolution, scrutiny of HMRC’s processes is set to intensify, with policymakers and advocacy groups calling for greater transparency and safeguards in the deployment of automated anti-fraud interventions.
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