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Much of £11bn Covid scheme fraud ‘beyond recovery’, report says

A recent report notes that the pandemic response involved substantial public expenditures, thereby increasing the likelihood of fraudulent activities and inaccuracies.

A significant portion of the £10.9bn in taxpayer funds lost to fraud and error in Covid support schemes is now unrecoverable, according to a recent report.

An Eat Out to Help Out poster in a window with two wine glasses and a blurred reflection of a customer

The Covid Counter Fraud Commissioner, Tom Hayhoe, noted that the pandemic response involved substantial public expenditures, which increased the risk of fraud and error, particularly as many organisations were unprepared to handle such large-scale spending.

The report revealed that employment support schemes, including furlough and self-employment assistance, introduced by the previous Conservative government, were affected by £5bn in fraudulent activity.

While the support measures were credited with supporting the economy during the Covid lockdowns, Mr Hayhoe stated that the public's outrage over fraud, abuse, and error remains unchanged.

Chancellor Rachel Reeves tasked Mr Hayhoe, a former NHS trust chair with expertise in procurement, with investigating the extent of public funds lost to fraud.

The nearly £11bn lost to fraud and error is comparable to the government's annual expenditure on the UK's justice system, with £1.8bn recovered so far, although a substantial amount of the remaining shortfall is now considered unrecoverable.

However, the report suggests that there are still areas where investing in recovery efforts could be worthwhile, and such efforts should continue.

When questioned about the potential for further recoveries on BBC Radio 5 live, Mr Hayhoe stated that he was unsure, but noted that new laws have extended the timeframe for authorities to investigate and uncover fraud cases.

Mr Hayhoe identified the scale of fraudulent activity during the pandemic as a major concern, highlighting the willingness of some individuals to exploit the crisis for personal gain.

The key lesson from this experience, according to Mr Hayhoe, is that it is unrealistic to assume that everyone will act with integrity, even in challenging times like the Covid-19 pandemic.

The report attributed the losses to weak accountability, poor data quality, and inadequate contracting practices.

Most public bodies were ill-prepared to respond to a crisis that required rapid and large-scale spending, leaving them vulnerable to fraud and error.

As a result, measures to prevent potential fraud were often insufficient, particularly in areas such as procurement.

The procurement of Personal Protective Equipment (PPE) is a notable example, where the rapid increase in orders overwhelmed the newly established supply chain, creating opportunities for mistrust, opportunism, and profiteering.

The report found that £13.6bn was spent on PPE procurement, with 38 billion items purchased, although 11 billion remained unused by 2024, resulting in estimated losses of £10bn due to over-ordering and £324m in fraud.

The support provided to small businesses was also criticized, as lending relied on self-certification with inadequate checks to prevent abuse.

The design of the Bounce Back Loan Scheme was identified as particularly vulnerable to fraud and error, with estimated losses of £1.7bn attributed to this programme and other business loan schemes.

The report acknowledges that the schemes were implemented rapidly, and Mr Hayhoe expressed appreciation for the efforts of public servants who worked diligently during the crisis.

However, he noted that, under pressure, some decisions were made that, in hindsight, may not have been optimal, and the report recommends that fraud prevention should be more integrated into future disaster responses.

In September, the government introduced a voluntary repayment scheme, allowing individuals and businesses to return pandemic scheme funds without penalty until the end of December.

Chancellor Rachel Reeves welcomed the report and announced that the government would provide a comprehensive response in the new year.

Speaking in the Commons, she criticized the previous Conservative government for its handling of public funds, stating that they had left the door open to fraud.

Ms Reeves emphasized that the current government is committed to recovering the lost funds, as they belong to taxpayers.

Conservative leader Kemi Badenoch expressed concern about fraud, but defended her party's actions during the pandemic, stating that they had acted quickly to provide support to those in need.

When asked if she would apologize for the fraud that occurred, Ms Badenoch declined, stating that her party had taken swift action to establish a support scheme during the pandemic, and she remains proud of their efforts.

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Study Explores if Brain Stimulation Can Reduce Selfish Behavior

Researchers have found a way to temporarily and marginally decrease self-centered behavior in individuals by activating two specific regions of the brain.

Researchers have made a groundbreaking discovery, finding that temporary reductions in selfish behavior can be achieved by stimulating specific areas of the brain.

The image shows a brain scan seen from the dront of the head. The lobes of the brain are artifically coloured in bright red and you can see the pink outline of a person's skull around the brain.

A recent study conducted at the University of Zurich involved 44 participants who were tasked with dividing a sum of money between themselves and an anonymous partner, allowing scientists to observe their decision-making processes.

The experiment utilized electrical current to stimulate the frontal and parietal regions of the brain, located at the front and rear of the skull, respectively. When these areas were stimulated simultaneously, participants exhibited a greater willingness to share their funds.

According to Prof Christian Ruff, a lead author of the study, the observed effects were consistent, albeit modest in scale.

Statistical analysis revealed a notable increase in participants' willingness to allocate funds to others, indicating a shift in their behavior.

The findings not only provide insight into the neural mechanisms underlying fundamental human behavior but may also have implications for the treatment of certain brain disorders characterized by impaired social behavior.

Prof Ruff noted that some individuals struggle with profound social difficulties due to an inability to consider others' perspectives, leading to consistently selfish behavior, and suggested that this discovery could potentially be used to address such issues.

However, the effects of the brain stimulation were found to be short-lived, suggesting that repeated application may be necessary to achieve lasting changes.

Prof Ruff likened the potential effects of repeated stimulation to the benefits of regular exercise, stating that consistent application over a prolonged period could lead to significant changes in behavior, much like the physical adaptations that occur with regular gym attendance.

This latest discovery builds upon a previous study in which researchers monitored brain activity while participants engaged in a similar money-sharing game, providing a foundation for the current findings.

A participant receiving non-invasive brain stimulation during an experiment in a laboratory setting. The volunteer sits in the foreground with another person, whose hands can be seen, holding a scanning device over the person's head. A scan of their brain is visible on a screen behind.

The earlier study identified two brain regions that appeared to be synchronized, with neural activity occurring at the same frequency, when participants made more generous decisions.

These brain areas are known to play a crucial role in decision-making and empathy, enabling individuals to distinguish between their own feelings and those of others.

When participants made selfless decisions, the regions responsible for empathy and decision-making were found to be communicating with each other.

The researchers sought to investigate whether electrical stimulation could be used to influence this communication and promote more selfless decision-making.

One participant who underwent the brain stimulation test described the experience as a gentle, soothing sensation, comparable to a warm shower or light rain on the scalp.

The participant reported making decisions while receiving the stimulation without feeling any external influence on their choices.

The discovery of a consistent neural pattern associated with selfless decision-making across multiple individuals suggests that altruism may be an innate, evolutionarily conserved trait that enables humans to care for one another.

Prof Ruff emphasized the clinical significance of this finding, highlighting the potential to modify and influence this neural mechanism.

Dr Jie Hu, a co-author of the study, noted that the research provides evidence of a causal relationship between brain activity and decision-making, demonstrating that targeted stimulation can alter an individual's sharing behavior.

By manipulating communication within a specific brain network using non-invasive stimulation, the researchers observed a shift in participants' decisions, influencing the balance between self-interest and altruism.

Addressing concerns about the potential implications of this research, Prof Ruff assured that the experiment was conducted with strict adherence to medical regulations and ethical guidelines, ensuring the well-being and informed consent of all participants.

The neuroscientist drew a distinction between the controlled, medically regulated nature of the experiment and the often-subliminal influences of social media and advertising, which can affect behavior without explicit consent.

Prof Ruff suggested that, in contrast to the experiment, the impacts of social media and advertising on brain function and behavior are often unforeseen and uncontrolled, highlighting the importance of careful consideration and regulation in such contexts.

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NHS Workers to Receive 3.3% Pay Increase

Labor unions have expressed displeasure, yet the government maintains that its actions showcase a dedication to its workforce.

The government has confirmed that NHS staff in England will receive a 3.3% pay increase in the upcoming financial year.

Nurses on a ward, checking patient notes

This pay award applies to approximately 1.4 million health workers, including nurses, midwives, physiotherapists, and porters, but excludes doctors, dentists, and senior management.

Although the Department of Health and Social Care initially proposed a lower figure, it has accepted the recommendation of the independent pay review body to demonstrate its commitment to NHS staff, resulting in a higher pay rise than initially suggested.

However, several health unions have expressed disappointment with the announced pay award.

Prof Nicola Ranger, general secretary of the Royal College of Nursing (RCN), noted that the 3.3% increase falls short of the current consumer price index (CPI) inflation rate of 3.4%, which measures the rise in prices over the past year.

Prof Ranger stated, "A pay award that is lower than the current inflation rate is unacceptable, and unless inflation decreases, the government will be imposing a real pay cut on NHS workers."

She criticized the government's approach, saying, "This strategy of making last-minute decisions is not an appropriate way to treat individuals who are essential to a system in crisis."

Prof Ranger indicated that she would wait to see the pay awards for the rest of the public sector and doctors before deciding on a course of action.

The RCN had previously reacted strongly to the 5.4% pay increase received by resident doctors last year, compared to the 3.6% increase received by nurses, which they described as "grotesque".

Prof Ranger emphasized, "Nursing staff will not accept being treated with disrespect, as has happened in the past when they were given lower pay awards than other groups."

Helga Pile, head of health at Unison, the largest health union, commented, "NHS staff who are already under financial pressure will be outraged by another pay award that fails to keep up with inflation."

"Once again, they are expected to deliver more while their pay effectively decreases, as it falls behind the rising cost of living," she added.

In response, the government argued that the pay award is actually above the forecasted inflation rate for the coming year, which is around 2%.

A spokesperson for the Department of Health and Social Care stated, "This government greatly values the outstanding work of NHS staff and is committed to supporting them."

The pay increase is expected to be implemented by the start of April.

However, the government did not provide a timeline for the announcement on doctors' pay, as the pay review body responsible for making recommendations on their pay has yet to submit its report to ministers.

The government is currently engaged in negotiations with the British Medical Association regarding the pay of resident doctors, previously known as junior doctors.

Members of the BMA recently voted in favor of strike action, granting them a six-month mandate for walkouts, and there have been 14 strikes so far in the ongoing dispute.

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NHS Waiting List Hits Three-Year Low

In England, the backlog has fallen below 7.3 million for the first time since 2023, yet worries persist regarding prolonged waiting times in accident and emergency departments.

England's hospital waiting list has reached its lowest point in almost three years, marking a significant milestone in the country's healthcare system.

A group of surgeons operating on a patient in theatre

As of December 2025, the number of patients awaiting treatment, including knee and hip operations, stood at 7.29 million, the lowest figure recorded since February 2023.

However, the latest monthly update from NHS England reveals that long wait times persist in Accident and Emergency departments, with a record number of patients experiencing 12-hour trolley waits.

In January 2026, over 71,500 patients spent more than 12 hours waiting for a hospital bed after being assessed by A&E staff, the highest number tracked since 2010.

This translates to nearly one in five patients admitted after visiting A&E waiting for an extended period.

According to Health Secretary Wes Streeting, while progress has been made, significant challenges still need to be addressed.

Streeting acknowledged that "there is much more to do" and emphasized the need to accelerate progress, but expressed optimism that the NHS is on the path to recovery.

Dr. Vicky Price, representing the Society for Acute Medicine, noted that hospitals are operating beyond safe capacity in terms of emergency care.

Dr. Price highlighted the vulnerability of patients who require admission, often elderly and frail individuals with complex needs, who are at greater risk of harm when care is delivered in corridors and hospitals exceed safe limits.

Duncan Burton, Chief Nursing Officer for England, commended the progress made in reducing wait times, achieved despite the challenges posed by strikes by resident doctors.

Burton attributed this progress to the hard work and dedication of NHS staff, describing it as a "triumph".

Although the waiting list decreased, performance against the 18-week target slightly declined, with 61.5% of patients waiting less than 18 weeks, compared to 61.8% in November, and still short of the 92% target set to be met by 2029.

Rory Deighton of the NHS Confederation, which represents hospitals, welcomed the progress but cautioned that it obscures significant regional variations.

A recent BBC report revealed that nearly a quarter of hospital trusts experienced worsening wait times over the past year.

Deighton emphasized that the NHS is composed of numerous separate organizations, each with unique financial and operational challenges, making it more difficult to address care backlogs in some areas.

According to Deighton, this means that tackling care backlogs will be more challenging in certain parts of the country due to these distinct regional challenges.

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