About the National Fraud Initiative

1993

The National Fraud Initiative (NFI) began in 1993. District Audit, in conjunction with representatives of the local authority treasurers societies, ran a pilot exercise at 13 London boroughs to detect housing benefit and student award fraud. More than 500 cases of fraud were detected, and in 1994, all London boroughs were invited to join in.

1996

After a series of national pilots, the NFI was established as a national data-matching exercise. By 1997 the number of participating authorities exceeded 300 and more than 30 million of fraud and overpayments had been detected.

1998

The NFI was incorporated into the Audit Commission Act 1998. Over 41 million of outcomes were identified.

Outcomes increase by +37%

2000

Over 50 million outcomes and over 600 public sector bodies took part in the exercise. NFI expanded into new areas such as tenancy fraud revealed by the introduction of rent data, and pension abatements where pensioners had not disclosed re-employment information. Audit Scotland participated in the exercise for the first time as did a small number of bodies in Northern Ireland.

Outcomes increase by +22%

2002

Over 1,150 bodies participated including all NHS bodies achieved outcomes of 83 million. The inclusion of Home Office data enabled NFI to match to detect benefit claimants and council tenants who are not entitled to remain in the UK and consequently not entitled to public funds. Housing Benefits were also matched to student loans for the first time to identify incorrectly awarded benefit.

Outcomes increase by +66%

2004

NFI achieved outcomes of 110 million. Almost 1,300 bodies participated. A number of new pilots were introduced, including creditors, private residential care and blue badge screening. Right to buy data was also introduced.

Outcomes increase by +33%

2006

Outcomes of 140 million were identified. For the first time data was uploaded, and the matches released through the secure website. A successful council tax to the electoral register pilot was undertaken.

Outcomes increase by +26%

2008

Record outcomes of 215 million were identified by bodies participating in NFI. An automated system for receiving updated immigration status was included in the web application. Council tax single person discount matching was rolled out to all mandatory participants (where applicable) in October 2009

Outcomes increase by +54%

2010

NFI 2010/11 helped trace 275 million in fraud, error and overpayments across the UK. Since the initiative’s start in 1996, the programme has helped identify 939 million in fraud or error and the initiative has attracted international recognition.

Outcomes increase by +28%