London Daily

Focus on the big picture.
Tuesday, Mar 03, 2026

Britain ‘seen as haven for fraudsters’ as 1% of cases result in charges, say MPs

Britain ‘seen as haven for fraudsters’ as 1% of cases result in charges, say MPs

The ‘Inaction Fraud’ hotline was criticised by MPs.
Britain is a “haven” for fraudsters as less than 1% of reported cases result in charges, a damning report into the Government’s handling of the growing problem has said.

MPs on the Public Accounts Committee criticised the “slow progress” on tackling the estimated 3.8 million incidents of fraud and attempted frauds.

They said they were “deeply disappointed” with the progress being made by the Government as fraud accounts for 41% of all crimes committed in England and Wales.

“Many of the same issues remain and there is still no sign that Government has a grip on fraud or an adequate strategy to address it,” their report published on Friday said.

Estimates put the cost to individuals at £4.7 billion, while it cannot quantify the potential price to businesses, and it is the victims who are “left to pay the price”.

The Home Office’s approach was criticised as “sluggish” as the UK’s “immature” overseas criminal justice agencies fail to tackle international elements.

Deterrence is also being failed because less than 1% of around 900,000 frauds reported in England and Wales each year results in an offender being charged or prosecuted, the report said.

The committee accused the Action Fraud hotline of failing victims and said it has earned the nickname “Inaction Fraud”.

Police morale was being dented by investigations often lasting longer than the sentences being handed to criminals, it said.

“We are worried that for many people, reporting a fraud may be their only contact with the police, and negative experiences of reporting fraud risks undermining public trust in the police more generally,” the MPs said.

“The criminal justice system’s current approach to penalising and sentencing fraudsters is insufficient to prevent the UK being seen as a haven for fraudsters.”

Dame Meg Hillier, the Labour chair of the cross-party committee, said there is “just no sign that Government has a grip on fraud”.

“Given the pervasive and damaging effects of fraud on business, individuals and society, it is extremely poor performance that Government still isn’t even able to fully grasp the extent let alone reduce the prevalence or harms,” she said.

“Opportunities to prevent further harm are being missed and public trust in law enforcement is undermined.”

The Home Office responded: “This Government is absolutely committed to cracking down on fraud and we will shortly publish our fraud strategy which will establish a co-ordinated response from Government, law enforcement and the private sector to better protect the public and increase the disruption and prosecution of fraudsters.

“We have also committed £400 million over the next three years to bolster law enforcement’s response to fraud and economic crime.”

On Thursday, the Home Office announced its three-year plan to crack down on money laundering and economic crime but Labour urged Prime Minister Rishi Sunak to bring forward his fraud strategy.

Shadow attorney general Emily Thornberry said: “It has been five months since Rishi Sunak stood in the House of Commons and promised that he would ‘shortly’ publish a new fraud strategy, with ‘a more unified and co-ordinated response across government and law enforcement’.

“Not only has that strategy failed to materialise, but as this report shows, the Government’s failings on fraud are now more stark than ever.

“We cannot let working people and pensioners continue being robbed of their hard-earned wages and savings by these gangs of parasites, while the Government sits on its hands and pretends there is no problem.”
Newsletter

Related Articles

0:00
0:00
Close
UK Arrests Prominent Figures Linked to Epstein Network as Questions Mount Over US Action
Trump Says UK ‘Took Far Too Long’ to Approve Use of Airbases for Iran Strikes
Scope of Britain’s Role in the Expanding Middle East Conflict Comes Under Scrutiny
Trump Says He Is ‘Very Disappointed’ in Starmer Over Iran Comments
U.S. Embassy in Riyadh Struck by Drones Amid Escalating Iran Conflict
Starmer Confronts Strategic Test After Drone Strike Near British Base in Cyprus
Rolls-Royce Chief Signals Openness to Germany Joining UK-Led Fighter Jet Programme
UK Stocks Slip as Escalating Iran Conflict Triggers Global Market Selloff
UK Overhauls Asylum System to Make Refugee Status Temporary
Starmer Warns of ‘Reckless’ Iranian Strikes Amid Escalating Regional Tensions
British Base in Cyprus Targeted as Drones Intercepted Amid Expanding Iran Conflict
Starmer Diverges from Trump on Iran Strategy, Rejects ‘Regime Change from the Skies’
U.S. and Israel Intensify Strikes on Iran as Conflict Expands to Lebanon and Gulf States
Violent Pro-Iranian Protesters Storm U.S. Consulate in Karachi
Missile Debris Sparks Fires at Dubai’s Jebel Ali Port Near Palm Jumeirah
Iran Strikes U.S. Fifth Fleet Headquarters in Bahrain Amid Wider Gulf Retaliation
When the State Replaces the Parent: How Gender Policy Is Redefining Custody and Coercion
Bill Clinton Denies Knowing Woman in Hot Tub Photo During Closed-Door Epstein Deposition
Former U.S. President Bill Clinton Testifies on Ties to Jeffrey Epstein Before Congressional Oversight Committee
Dyson Reaches Settlement in Landmark UK Forced Labour Case
Barclays and Jefferies Shares Fall After UK Mortgage Lender Collapse Rekindles Credit Market Concerns
Play Exploring Donald Trump’s Rise to Power by ‘Lehman Trilogy’ Author to Premiere in the UK
Man Arrested After Churchill Statue Defaced in Central London
Keir Starmer Faces Political Setback as Labour Finishes Third in High-Profile By-Election
UK Assisted Dying Bill Set to Fall Short in Parliament as Regional Initiatives Gain Ground
UK Defence Ministry Clarifies Position After Reports of Imminent Helicopter Contract
Independent Left-Wing Plumber Secures Shock Victory as Greens Surge in UK By-Election
Reform UK Refers Alleged ‘Family Voting’ Incidents in By-Election to Police
United Kingdom Temporarily Withdraws Embassy Staff from Iran Amid Heightened Regional Tensions
UK Government Reaches Framework Agreement on Release of Mandelson Vetting Files
UK Police Contracts With Israeli Surveillance Firms Spark Debate Over Ethics and Oversight
United Airlines Passenger Hears Cockpit Conversations After Accessing In-Flight Audio Channel
Spain to Conduct Border Checks on Gibraltar Arrivals Under New Post-Brexit Framework
Engie Shares Jump After $14 Billion Agreement to Acquire UK Power Grid Assets
BNP Paribas Overtakes Goldman Sachs in UK Investment Banking League Tables
Geothermal Project to Power Ten Thousand Homes Marks UK Renewable Energy Milestone
UK Visa Grants Drop Nineteen Percent in 2025 as Migration Controls Tighten
Barclays and Jefferies Among Banks Exposed to Collapse of UK Mortgage Lender MFS
UK Asylum Applications Edge Down in 2025 Despite Rise in Small Boat Crossings
Jefferies Reports Significant Exposure After Collapse of UK Lender MFS
FTSE 100 Reaches Fresh Record Highs as Major Share Buybacks and Earnings Lift London Stocks
So, what's happened is, I think, government policy, not just under Labour, but under the Conservatives as well, has driven a lot of small landlords out of business.
Larry Summers, the former U.S. Treasury Secretary, is resigning from Harvard University as fallout continues over his ties to Jeffrey Epstein.
U.S. stocks ended higher on Wednesday, with the Dow gaining about six-tenths of a percent, the S&P 500 adding eight-tenths of a percent, and the tech-heavy Nasdaq climbing roughly one-and-a-quarter percent.
From fears of AI-fuelled unemployment to Big Tech's record investment, this is AI Weekly.
Apple just dropped iOS 26.4.
US Lawmakers Seek Briefing from UK Over Reported Encryption Order Directed at Apple
UK Business Secretary Calls on EU to Remove Trade Barriers Hindering Growth
Legal Pathways for Removing Prince Andrew from Britain’s Line of Succession Examined
PM Netanyahu welcome India PM Narendra Modi to Israel
×