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Expat benefits cheats soak up sun

By Jenny Hill
BBC News

The government says benefit fraud by people living abroad costs UK taxpayers £63 million a year - and is extending a hotline scheme to report them.

BBC Breakfast went to Benalmadena, near Malaga in Spain, to find out more about the practice.

Every year thousands of visitors come to enjoy the sparkling coastline and bright sunshine.

And many of the people who live here are British pensioners who have decided to retire abroad.

The streets are lined with English bars and restaurants and it is easy to pick out the expats sitting in the afternoon sun enjoying a beer.

But this is also where the benefit cheats hide.

We came to the Costa del Sol to investigate claims that some of those British expats are claiming UK benefits to which they are not entitled.

One man near Marbella said he had lived in Spain for years and had found it easy to fund his lifestyle with illegal handouts.

He explained how he got help after answering an advert in a newspaper that offered to help people fill in claim forms.

"The clue of getting benefits was to fill in the forms properly, to know what to put down. And he had a business where he filled the forms in for you. He got you not only your benefits but back pay as well."

Expats are allowed to claim some UK benefits like pensions and heating allowance.

But in Benalmadena some business owners and residents say many people make false claims too. The majority of the people said they knew of someone who cheated the system.

Dancing claimants

Steven Philips runs a sports bar. He said: "I know people who own houses - council houses - and rent them out."

In another bar down the road Gary Marsh says: "There's people I know who claim disability allowance who certainly go into the local offices in wheelchairs, who you see down here dancing in the winter months."

The Department for Work and Pensions (DWP) claims that so-called "abroad fraud" costs the UK taxpayer £63m a year.

Officials do not know how many people are making illegal claims or where they all live, but they believe the majority are in Spain.

Martin Fitches from the DWP told us "There are one million people here and the vast majority are law-abiding - so we're working with them to catch the people who are stealing British taxpayers' money."

The DWP has extended its hotline scheme and hopes residents will report their suspicions.

Originally set up in Alicante, it will now cover the Costa Del Sol and the Canary Islands.

Many people may well get in touch. At the Euro Weekly News they have lost count of the letters they receive complaining about benefit cheats.

The weak pound has affected most expats in the area and those struggling to exist on a devalued UK pension are angry.

The owner of the paper, Michel Euesden, said: "They're leeches on both societies and it's not for the Spanish government to stop them. It's for [the UK] government to stop them."

Just last month a British couple were jailed for claiming benefits while they sailed round the world in a luxury yacht.

The case was widely reported but seems to have had little impact as a deterrent in Spain.

As one benefit cheat admitted: "Everyone else is doing it - why shouldn't I?"

http://news.bbc.co.uk/2/hi/uk_news/8015229.stm

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[miltiades]

""""claiming UK benefits to which they are not entitled. """
A bit like our MPs then !!!

"Everyone else is doing it - why shouldn't I?"
Exactly what ALL of our MPs are saying !!!

[Sotos]

And why is it possible to cheat the system only if they live abroad? Those that live in the UK can not cheat the system also? It is not like the authorities will be constantly watching them to see if they are always on the wheelchair!

[Z4]

...and why not!

The Bankers and MP's are as bent as these guys mentioned!!

How do they do it? Being in the UK it's hard enough to claim benefits but being abroad?

[purdey]

This is one that really pisses me off. I pay my taxes in the UK and Cyprus and work bloody hard. I am fed up with spongers and lazy sods who claim all that is going, forgoe work and then sit in the sun drinking Keo or Sangria.
I will be one of the first on the phone reporting anyone who takes advantage of our pathetic hand out culture. Get a job you lazy sods and pay your way.

[Z4]

Purdey, I used to think exactly the same thing as you. I used to get really pissed off with spongers claiming for everything possible but it didn't get me anywhere!

Look at Jacqui Smith claiming for her porn! I really get pissed off with MP's claiming for their 2nd homes...I get pissed off but can't do anything about it...so now I couldn't really give a damn.

Bent broken Britain I'm affraid!

[purdey]

I see your point Z4. I am still on a crusade to get these lazy spongers, I still believe we are a pampered society and a shake up is long overdue.
I am also appauled at the high rate tax increases announced the other day in the budget, why ? it should be lowered if anything to allow people to attain more and encourage hard work.

[Jerry]

The system is as bent and corrupt as the spongers, how about this ;- OAP dies a few days after the qualifying date for winter fuel allowance, so obviously he does not incur heating bill for winter because he is dead. The executor of his estate, however, is legally entitled to the £400 and can do whatever he likes with the cash. Welfare state gone mad I think!

[suegwyn]

The only ones that are better off in the credit crunch are the ones on benefits! They get their rent etc paid for them and retailers are putting their prices down. I've just read about a family with 10 kids that get £650 a week after rent and rates are paid. How many ordinary hardworking people can earn that much ??

[Z4]

The only ones that are better off in the credit crunch are the ones on benefits! They get their rent etc paid for them and retailers are putting their prices down. I've just read about a family with 10 kids that get £650 a week after rent and rates are paid. How many ordinary hardworking people can earn that much ??

Lazy f*****s should get to work!