Page 70 - Reforming Benefits Decision-Making -(updated - August 2021)

Algorithms identified parents with dual nationality as fraud risks, and
196
parents were identified as having committed fraud for minor errors such as
missing signatures on paperwork. 197 A parliamentary inquiry into the scandal
found that that the system was overly focused on efficiency and preventing
fraud to the detriment of considering individual situations. The inquiry also
198
criticised the lack of transparency and information – parents often did not
know why their benefits had stopped 199 and the tax authorities also refused to
provide evidence or reasoning for the decisions so parents could not appeal.
200
2.91 The DWP has told us that it is committed to meeting its transparency
obligations under data protection legislation and to following guidance from
the Information Commissioner’s Office. It works with legal and data
protection colleagues to ensure that it does. Whilst we are pleased to see this
commitment, these requirements relate largely to informing individuals about
the collection and use of their personal data. This includes things such as the
purpose for which data is being processed, retention periods and who it will
be shared with. However, data protection law does not require the provision of
systematic information about how the automated system operates. Further,
although there are enhanced data protection requirements for automated
decision making under Article 22 of the UK General Data Protection
Regulation these only apply to “solely automated decision making”, i.e.
without human involvement, something that the DWP does not currently do.

2.92 We recommend that the DWP should publish information on how and
when automation is used in the benefits decision-making processes and
how it feeds into the final decision made by the decision-maker, including

196 The Dutch tax office subsequently admitted that 11,000 people were subjected to extra scrutiny
because they had dual nationality (BBC, ‘Dutch Rutte government resigns over child welfare fraud
scandal (January 2021)).
197 E. Schaart, ‘Dutch Labor leader quits over false benefit fraud scandal’ (Politico, January 2021).
198 Verslag - Parlementaire ondervragingscommissie Kinderopvangtoeslag, ‘Unprecedent Injustice’
(December 2020). DutchNews.nl, ‘‘Unparalleled wrong’ was done to parents accused of childcare
fraud: report’ (December 2020).
199 Rijksoverheid, ‘Kabinetsreactie op het rapport ‘Ongekend onrecht’’ (January 2021).
200 The Economist, ‘A benefits scandal sinks the Dutch Government’ (see n.194 above).

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