Feeds

UK gov to bust fraudulent IT suppliers

Scams cost taxpayers £2.4bn in 2011

Remote control for virtualized desktops

The Coalition has concocted a four-pronged strategy to cut the £2.4bn problem stemming from public sector procurement fraud.

According to estimates from the National Fraud Authority (NFA), central and local government fraud will cost the UK £1.5bn and £855m respectively in 2011, a relatively small fraction of total fraud losses for the year of £21bn, with tax evasion accounting for nearly three quarters of this.

The Taskforce on Fraud, Error and Debt – set up in late 2010 to underpin cross-Whitehall efforts to tackle scams – plans to foster greater collaboration across the public sector to share intelligence on fraudsters; assess the risks and costs of fraud before projects get the green light; prevent instances rather than just detect and punish them; and operate a zero tolerance policy on scammers.

A Cabinet Office report, "Eliminating Public Sector Fraud", stated: "Taken together these priorities will enable the government not only to prevent fraud but to detect, deter correct and punish offenders.

"Fraudsters attack the public sector across the board and exploit government processes at their weakest points; to combat this threat will require unprecedented cross government collaboration," it added.

The NFA was unable to detail the proportion of procurement fraud related to IT but the report said it occurred both during the "contracting phase" and after awards have been made.

"Examples include collusion between suppliers to fix the price of goods or services provided to the public sector, through to false or duplicate invoicing to receive multiple payments on existing contracts," the Cabinet Office said.

Given that the £2.4bn spans all types of fraud, it may be that IT-related shenanigans are just a drop in the ocean.

And anyway, the government seems more than capable of losing vast sums on IT perfectly legally, including the £12.75bn spent on the National Programme for IT, IT integration issues resulting in fraud and errors costing £2.5bn, £234m sunk into National Offender Management Systems, and nearly £300m splashed on the national ID cards project. ®

Remote control for virtualized desktops

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Big Content outs piracy hotbeds: São Paulo, Beijing ... TORONTO?
MPAA calls Canadians a bunch of bootlegging movie thieves
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
Verizon bankrolls tech news site, bans tech's biggest stories
No agenda here. Just don't ever mention Net neutrality or spying, ok?
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.
Getting ahead of the compliance curve
Learn about new services that make it easy to discover and manage certificates across the enterprise and how to get ahead of the compliance curve.