Town hall bosses today revealed they have applied to become one of 15 local authorities sanctioned to use the groundbreaking technology.

The controversial technique, which analyses speech patterns to tell if subjects are lying, is seen as the latest weapon against fraudsters who cost the taxpayer £400m a year across the country.

Lie detectors are already said to have saved hundreds of thousands of pounds in seven boroughs which have trialled the equipment so far.

Fraud

Fraud officers in Blackpool identified more than £1.3m in overpaid benefits and prosecuted 70 people last year.

A further 134 claimants received cautions and 59 people were given administrative penalties, meaning they had to pay back overpaid benefits and an additional 30 per cent on top.

Coun Ian Fowler, Blackpool Council's deputy leader, said: "Lie detector tests have proved very successful elsewhere and we are interested in any new methods that help to reduce the amount of illegally claimed benefits.

"We have already written to the Government to express our interest in the next round of trials.

"Benefit fraud costs taxpayers millions of pounds every year and we are committed to targeting those who are claiming illegally."

Technology

The technology works via the telephone with an operator sitting in front of a computer and making phone calls to claimants.

The official then asks set questions and the screen flashes red if the software detects a change in the modulation of the claimant's voice which could indicate they are not telling the truth.

If successful, the scheme is expected to be rolled out nationally, with the government claiming they will save taxpayers tens of millions of pounds a year.

Critics say genuine claimants may be put off applying for benefits in fear of being wrongly labelled a fraudster.

Richard Exell, of the TUC, said: "Someone who is a practised liar, who's deliberately defrauding the system, may very well be able to beat equipment like this, whereas someone who is scrupulously honest may actually be scared off claiming a benefit they are entitled to."

But Harrow Council, one of the seven areas to trial the technology in the last year, says it has saved £420,000.

The anti-fraud minister, James Plaskitt, said: "This positive and encouraging news from the pilots shows that this technology is helping to combat benefit fraud.

"Overall, the huge majority of people who receive benefits are entitled to them.

"However, there is a minority who will still try to steal money from those people who are most vulnerable.

"We need to continue to do more to make sure that taxpayers' money always goes to those who need it the most."

n Residents can report benefit fraud confidentially via www.blackpool.gov.uk or by calling 0800 328 6340.