26th Jul 2011
The Department of Work and Pensions and HMRC are to develop a new centralised service to gather and process data and intelligence on fraud and error.
A tender for the platform – the Integrated Risk and Intelligence Service (IRIS) – has been issued in the Official Journal of the European Union (OJEU), setting out a proposed four year framework agreement with several data service suppliers.
According to the tender, the cost of IRIS ranges between £15m and £45m (excluding VAT).
News of the proposals comes two months after the emergence of a report by KPMG, which revealed HMRC accounts for £1.2bn out of the £1.5bn value of fraud committed against the government between April 2008 and March 2010. Money laundering accounted for more than £200m of the total figure according to the report, with VAT fraud (both MTIC and non-MTIC) standing at £735.7m.
DWP/HMRC said the hub would “support performance improvements in F&E and debt recovery activities across DWP (including Housing Benefit) and HMRC; it will also feed into and support implementation and delivery of universal credit.” Universal Credit is currently being developed by following an agile philosophy, and is planned to go live by October 2013 according to DWP CIO, Joe Harley.
The organisations are looking to sign an agreement with data service suppliers “who have access to a unique range of data assets and a proven ability to manipulate data to meet DWP’s specific business requirements.”
The deadline to submit interest in the tender is 12 August, at 4pm.