The Public Sector Fraud Authority (PSFA) will now operate under the Department for Work and Pensions (DWP) with Treasury support, a move that occurred shortly after Louise Haigh was appointed to a Cabinet Office ministerial position. The PSFA is tasked with combating scams involving public funds.
A government statement indicated that the transfer of functions out of the Cabinet Office is intended to streamline the central government structure and align responsibilities with departments best suited to their purpose. A spokesperson for the Cabinet Office stressed that these departmental changes were decided upon before ministerial appointments were finalized, refuting claims that the reassignment was a direct consequence of Ms. Haigh's appointment.
This development follows reports that Ms. Haigh, now serving as First Secretary of State, Chancellor of the Duchy of Lancaster, and Cabinet Office minister, had a prior conviction for misleading police. In 2014, she pleaded guilty to making a false report after initially telling officers her work phone was stolen during a night out in 2013, only to later claim she found it in a drawer. This conviction is now considered 'spent'.
Kevin Hollinrake, the chairman of the Conservative Party, commented on the brief's reassignment, stating that no individual with a fraud conviction should be in charge of the government's fraud office. He also raised questions about Ms. Haigh's suitability for a Cabinet position.
The government spokesperson reiterated that the PSFA's move to the DWP is due to the department's existing work in tackling fraud. The decision to shift departmental responsibilities was reportedly agreed upon prior to the latest ministerial appointments.