The £4.5bn Building Safety Fund was launched in 2020 to protect leaseholders from the cost of cladding removal in the wake of the Grenfell Tower tragedy after tens of thousands received bills, in some cases for up to £100,000. However, the National Audit Office said the decision to prioritise speed in providing money had increased the risk of fraud.
The NAO report revealed that last autumn the fund was subject to a potential fraud in which £500,000 was paid to a suspected scammer, using a mechanism in which 80% of funding could be paid upfront. After the potential fraud was identified, the Ministry of Housing, Communities and Local Government (MHCLG) commissioned an independent review of the case, which found problems with its processes.
This included a reliance on self-certification, which limited MHCLG's ability to verify details. The review also said the 80% advanced payment structure "increased the opportunity and motivation for fraud".
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Denne historien er fra November 04, 2024-utgaven av The Guardian.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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Money hacks How to save on winter sports holidays
When it comes to skiing and snowboarding, going to Europe will always be cheaper than flying to somewhere such as the US or Canada - but costs vary massively on the continent.
Scam refund claims
Some victims of bank transfer scams will not get a penny back despite beefed-up rules designed to better protect consumers from fraudsters because several big banks have introduced an excess on refund claims.
Packaged accounts Are the perks worth the money?
For a monthly fee, banks offer everyday banking with all kinds of enticing extras. Laura Whateley examines how the 'freebies' stack up
Spain floods force firms to look south for oranges
Some British retailers and wholesalers have been forced to switch to sourcing oranges from South Africa and South America earlier than usual after last month's floods in eastern Spain left farmers struggling to harvest and ship their crops.
Northvolt boss resigns after EV battery firm files for bankruptcy
The chief executive of Northvolt has resigned after the Swedish battery startup filed for bankruptcy protection in the US.
Electric dream sours Carmakers fight strict EV rules as fines loom
When Ford announced this week that it was cutting 800 jobs in the UK, the US carmaker had stern words for the government.
Irish tycoon bids to buy out Yorkshire Post owner
National World, the owner of the Scotsman and Yorkshire Post - and underbidder in the auction for the Telegraph - has received a buyout proposal from largest shareholder.
Bitcoin rises after US SEC chair says he will step down
Cryptocurrencies rose sharply immediately after one of the industry's biggest critics, Gary Gensler, said he would stand down as the head of the US financial regulator when president-elect Donald Trump was inaugurated in January.
Feeling the strain Rising bills and Trump policies to add to pressure on households
Labour swept to power in the wake of a punishing cost of living crisis that hit households hard, with the price of food and energy rocketing, alongside the impact on mortgage rates of Liz Truss's disastrous mini-budget.
Budget blamed for end to 12 months of expansion as optimism slumps
Labour's first budget in 14 years has been given the \"thumbs down\" by private sector businesses, with Rachel Reeves's measures blamed for the end to a 12-month run of expansion and a fall in retail sales.
