You are using an outdated browser. Upgrade your browser today for a better experience of this site and many others.

Government fraud squad hunts down Covid loan scams

26 Jun 2026

A new counter-fraud squad has launched investigations against those who defrauded the public during the Covid pandemic, the Treasury has announced.

The Public Authorities Fraud Investigation and Enforcement Service (PAFIES) has begun pursuing suspected fraudsters.

The investigators will have new powers, including the ability to search the premises of suspected fraudsters and seize money directly from fraudsters' bank accounts if they do not pay back what they owe.

In addition, the window to pursue Covid fraudsters has been doubled from six to 12 years with all new powers becoming available to the government fraud squad this autumn.

Satvir Kaur, Parliamentary Secretary in the Cabinet Office, said: 'Those who chose to exploit a national crisis to line their own pockets now have nowhere left to hide.

'Our decision to go after those who have cheated the system as part of our wider crackdown on fraud against public services has already helped save £7.5 billion. We will use every tool at our disposal to protect public money and fund the frontline services the British people rely on.'

Accessibility | Disclaimer | Terms of Business | Privacy | Help | Site map |

© 2026 Gibbons Mannington & Phipps LLP. All rights reserved.

We use cookies on this website, you can find more information about cookies here.

Gibbons Mannington & Phipps LLP, 20 Eversley Road, Bexhill-on-Sea, East Sussex TN40 1HE
Gibbons Mannington & Phipps LLP, 24 Landgate, Rye, East Sussex TN31 7LJ
Gibbons Mannington & Phipps LLP, 82 High Street, Tenterden, Kent TN30 6JG

GMP Audit Limited, 20 Eversley Road, Bexhill-on-Sea, East Sussex, TN40 1HE

Registered to carry out audit work in the UK by the Institute of Chartered Accountants in England and Wales. Details about our audit registration can be viewed at www.auditregister.org.uk under reference number: C006045200

Company registered in England & Wales Number : 11309384

Quickbooks Sage xero certified advisor freeagent