Today's Public Accounts Committee report finds that DWP and HMRC overpaid benefit and tax credit claimants by £4.6 billion in 2013-14 because of fraud and error, and underpaid claimants by £1.6 billion.
Responding, Jonathan Isaby, Chief Executive of the TaxPayers' Alliance, said:
"The welfare system is still dogged by complexity and the authorities are losing significant sums of taxpayers' money as a consequence. Those cheating the system are not just taking from taxpayers but they are taking from the neediest in society too, while those who are being underpaid will find it tough to make ends meet. It's good to see that these bills are coming down but the potential saving is about the same as the government's proposed reductions in tax credits, so removing complexity from the system and punishing those who fleece taxpayers will help to get the public finances back on track."