Under newly introduced laws, DWP officials will be able to request access to view the bank accounts of claimants. The move aims to stop benefits fraud, and the DWP can now ask banks to hand over information about accounts linked to certain benefits. However, one benefit is exempt from the new law. The new power is known as the Eligibility Verification Measure, and it will initially be used to check people receiving three benefits: Universal Credit, Pension Credit and Employment and Support Allowance.

This could be expanded to other benefits, according to the legislation. "DWP will be gradually rolling out the use of the Eligibility Verification Measure in a test and learn environment to allow for sufficient time for business to establish best processes," a government document stated. A DWP spokesperson previously said that the move will save the taxpayer £2.1billion over the next five years, part of wider plans that will save £14.6billion.

However, the State Pension is explicitly excluded from this power, so it cannot be added along with other benefits. Unlike many other benefits, the State Pension is not means-tested, so it falls under a different category.

"The legislation includes an Eligibility Verification Measure which will require banks to share limited data on claimants who may wrongly be receiving benefits," the spokesperson added. "It does not involve access to benefit claimants' bank accounts."

While the legislation states that other benefits could be included in this new move down the line, the DWP says it has no current plans in place for this. The department also said that no personal information will be shared.

A government document reads: "If the Secretary of State wishes to expand the range of benefits covered, it will require a debate and approval by Parliament. This is except for the State Pension, which is excluded from being added by the legislation."

A power to directly deduct funds from someone's bank account is also included in the new legislation. This might happen when a person owes money to the DWP and is refusing to pay up. Before the measure, the DWP could only get back owed amounts through deductions from a person's benefits or through their PAYE earnings.

The legislation also states that banks and other financial institutions can be issued penalty notices for non-compliance with Eligibility Verification Notices. To avoid penalties, banks have to respond within the timeframe.

They can also be handed a penalty for sharing information that is not to be shared under the new measure.