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£8m in benefits paid into the wrong Post Office accounts
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11 September 2007
Tens of thousands of people have received money to which they are not entitled. Just over £7.7 million was lost in the four years to 2006/07 and only £1.27million has been recovered.
However, the missing millions have not been officially recorded as a loss because the Department for Work and Pensions is still drawing up plans on how to reclaim it, or write it off.
The Tories condemned this as "creative accounting" and criticised the payments which have happened as thousands of post offices have been shut down.
Shadow work and pensions secretary Chris Grayling said: "It is time the Government stopped this waste and did something to prevent the unnecessary closure of local post offices. This is enough money to keep dozens of them open."
Benefits payments into banks and building societies are subject to tight checks and are rejected if deemed incorrect.
The system for Post Office Card Accounts (POCAs) is "less robust", according to the DWP.
A spokesman said: "Many of these errors are due to customers giving the department the wrong account details.
"We are working to ensure we pay the correct benefit to our customers every time."
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