Eight people have already been arrested as a result of the investigations by HMRC into fraudulent misuse of the government’s covid-19 business support schemes. The arrests include a man from the West Midlands suspected of furlough fraud of almost half a million pounds. HMRC’s other investigations relate to the furlough programme, the “eat out to help out” scheme, and the self-employment income support scheme (SEISS). BLM uncovered the information as part of a freedom of information request. BLM has said that, moving forward, many more investigations could take place. 

 Data obtained by the Financial Times shows that 28,444 reports of possible furlough fraud were received by HMRC at the start of this month. However, not all of these reports will be investigated. 

Since March 2020, the Treasury has paid up to 80% of furloughed workers’ wages up to a limit of £2,000 per month. The scheme has helped approximately 11.5 million employees so far. However, the furlough scheme, as well as the Kickstart scheme, are currently set to end on 30 September. However, the scheme has been extended in the past.

HMRC has said it expects to recover around £1 billion of mistakenly or fraudulently claimed money over the next two years.