Almost £22m in public sector fraud and error identified

Almost £22 million in public sector fraud and error has been identified, according to a watchdog.

The National Fraud Initiative (NFI) checks the books of public sector bodies every two years.

In 2024-25, the NFI found £21.7 million in fraud and error, a slight drop from £22.1 million in the previous cycle.

In the most recent findings, £6 million in overpayments and additional income were identified, £5.7 million of which is believed to be recoverable.

Some £8.9 million of the total is considered “forward savings” for public bodies, with £6.8 million in “other notional outcomes” – which do not directly impact the finances of public bodies – also found.

The highest level of saving was found in pensions – the majority of which would be for the future – followed by the single person discount on council tax.

John Cornett, the executive director of audit services at watchdog Audit Scotland, said: “The NFI remains vitally important at a time of ongoing financial pressures across the public sector.

“Public bodies are getting better at delivering the NFI, but they need to ensure they have staff available to effectively follow up on matches.”