Yes, they inform HMRC of taxes applied..
The DWP operates the WFA.
The government, including DWP and HMRC, have no mandate to request a sweep of all, or even any bank accounts that meet certain criteria.
They can only request account details on a case-by-case basis, and with due cause.
Wrong. HMRC know more about us than the majority of people realise
I made more than £1000 in interest last year. Waiting for my tax coding to be adjusted