Some 39 councils, among them 35 districts, failed to detect a single instance of non-benefit fraud last year, despite local authorities preventing record-breaking £188m of fraudulent claims, spending watchdogs have reported.

The finding is contained in the Audit Commission's Protecting the Public Purse 2014: Fighting Fraud Against Local Government paper, which noted a 6% increase in fraud from 2012/13 to 2013/14.