London Daily

Focus on the big picture.
Thursday, Apr 30, 2026

Energy discount phishing: Robbed of £25,000 in text scam

Energy discount phishing: Robbed of £25,000 in text scam

Cost of living scams are on the rise, as fraudsters prey on people's anxiety around saving money.

Action Fraud says it has received reports of hundreds of different scams about energy support alone.

Diane Jones was pottering around the house when she was sent a text message telling her to claim her £400 energy discount.

As a rheumatoid arthritis sufferer, she receives disability benefit and assumed the £400 payment was connected.

But almost as soon as Diane, 65, entered her bank details, she realised she was a victim of fraud and contacted her bank, HSBC.

"I'd been rushing around that day and just clicked on it when it came on my phone. My mind was in a muddle. As soon as I did it, I realised I shouldn't have done," she says.


Diane Jones was walking her dogs when she received the fake text

Households across the UK are being given £400 off their energy bills to help with rising costs, but it is automatically applied to their bills and is not something people need to apply for.

Unfortunately for Diane, an office administrator who lives in Eastbourne, that wasn't the end of the matter.

She was subsequently assured, via HSBC's online chat feature, that her bank card had been cancelled to protect her from further scams.

When she was contacted later that week, by someone purporting to be from the bank's fraud team, she assumed they were following up on the earlier scam.


'He was so clever'


"I didn't doubt the man for one moment - he was so clever. He was talking and talking, not giving me any time to think," she says.

The man persuaded Diane that her account had been compromised and she needed to transfer her money to a new bank account, via an app which he asked her to download.

He also pretended he needed her help uncovering fraudsters working internally at the bank, and gave her a script of things to say when HSBC rang querying the transaction.

It wasn't until a colleague later searched online for the caller's incoming phone number that Diane realised the man was not from HSBC after all.

By that time, fraudsters had stolen £24,800 - all of her life savings, and her overdraft.

She was distraught.

"I was in such a state when I found out what had happened - one of my sons had to get me from work and drive me home," she says.

HSBC told Diane it had no record of the original attempt to cancel her card. It initially refused to reimburse her the money, as she had transferred it herself and had given misleading answers to the bank when contacted.

Diane became so anxious that she stopped spending money and decided to put all of her Christmas plans on hold.

But following an agonising wait, the money has been refunded by HSBC, after the bank admitted it had not fully protected her account at the time.

"Protecting customers from fraud is a priority for us and we are sorry that Ms Jones has been the victim of a scam," an HSBC spokesperson said.

"While we provided warnings to Ms Jones and explained about impersonation scams, we recognise that we missed an opportunity to take extra steps on Ms Jones's account and for that we apologise."

Charities are warning that cost of living fraud is on the rise


The charity Victim Support says it is being contacted by more and more people in Diane's situation.

"Fraudsters are deliberately taking advantage of people when they're at their most vulnerable. It happened during the pandemic and we're seeing it again with the cost of living crisis," says national fraud lead Wayne Stevens.

"We're seeing two types of cost of living-related fraud: there are frauds directly linked to government or other public policy announcements, such as energy rebates, where people are sent a fake text or email inviting them to claim this support.

"But there is also the second type, which plays on people's growing anxieties about money and the need to quickly reduce their costs."

Mr Stevens says the latter include false adverts for low mortgage rates, fake loan offers, or cheap places to rent.


'It's knocked me for six'


Action Fraud says it received more than 100 complaints about energy rebate scams in September, up from a handful the month before. This has since risen to almost 400 complaints about energy text scams alone in less than three months.

A survey of 2,000 people by UK Finance found three in five people were concerned about falling victim to financial fraud or a scam.

One in six said the rising cost of living meant they were more likely to respond to an unprompted approach from someone offering an investment opportunity or a loan - rising to a third of those aged 18-34.

Although Diane eventually got her money back, she still feels the scam's impact.

"I'm dubious of everything that comes through on my phone. It's knocked me for six - and I don't consider myself a vulnerable person"


What can you do if you think you've fallen victim to a cost of living scam?


*  Do not respond to unexpected emails, phone calls and text messages asking you to click on links or provide your personal details to claim cost of living-related rebates or payments. If you are in any doubt, get verification from the genuine organisation first - for instance, by phoning a known, legitimate number

*  Fraudsters often prey on fears about rising costs by offering cheap loan offers, reduced rent, holiday deals or other services. If it looks too good to be true, it probably is

*  If you have been a victim of fraud, contact your bank immediately. You can also report it to Action Fraud. For support and advice visit victimsupport.org.uk and search "fraud"

*  For information you can trust about cost of living support, and to check what you're eligible for visit: helpforhouseholds.campaign.gov.uk

Newsletter

Related Articles

0:00
0:00
Close
The Met Gala Meets the Age of Billionaire Backlash
Russian Oligarch’s Superyacht Crosses Hormuz via Iran-Controlled Route
Gunfire Disrupts White House Correspondents’ Dinner as Trump Is Evacuated
A Leak, a King, and a Fracturing Alliance
Inside the Gates Foundation Turmoil: Layoffs, Scrutiny, and the Cost of Reputational Risk
UK Biobank Breach Exposes Health Data of 500,000, Listed for Sale on Chinese Platform
KPMG Cuts Around 10% of US Audit Partners After Failed Exit Push
French Police Probe Suspected Weather-Data Tampering After Unusual Polymarket Bets on Paris Temperatures
CATL Unveils Revolutionary EV Battery Tech: 1000 km Range and 7-Minute Charging Ahead of Beijing Auto Show
Crypto Scammers Capitalize on Maritime Chaos Near the Strait of Hormuz: A Rising Threat to Shipping Companies
Changi Airport: How Singapore Engineered the World’s Most Efficient Travel Experience
Power Dynamics: Apple’s Leadership Shakeup, Geopolitical Risks in the Strait of Hormuz, and Europe's Energy Strategy Amidst Global Challenges
Apple's Leadership Transition: Can New CEO John Ternus Navigate AI Challenges and Geopolitical Pressures?
Italy’s €100K Tax Gambit: Europe’s Soft Power Tax Haven
News Roundup
Microsoft lost 2.5 millions users (French government) to Linux
Privacy Problems in Microsoft Windows OS
News roundup
Péter András Magyar and the Strategic Reset of Hungary
Hungary After the Landslide — A Strategic Reset in Europe
Meghan Markle Plans Exclusive Women-Focused Retreat During Australia Visit
Starmer and Trump Hold Strategic Talks on Securing Strait of Hormuz Amid Rising Tensions
Unofficial Australia Visit by Prince Harry and Meghan Expected to Stir Tensions with Royal Circles
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
UK Stocks Rise on Ceasefire Momentum and Renewed Focus on Diplomacy
UK to Hold Further Strategic Talks on Strait of Hormuz Security
Starmer Voices Frustration as Global Tensions Drive Up UK Energy Costs
UK Students Voice Concern Over Proposal for Automatic Military Draft Registration
Rising Volatility Drives Uncertainty in UK Fuel and Petrol Prices
UK Moves to Deploy ‘Skyhammer’ Anti-Drone System to Strengthen Airspace Defense
New Analysis Explores UK Budget Mechanics in ‘Behind the Blue’ Feature
Man Arrested After Four Die in Channel Crossing Tragedy
UK Tightens Immigration Framework with New Sponsor Rules and Fee Increases
UK Foreign Secretary Highlights Impact of Intensified Strikes in Lebanon
UK Urges Inclusion of Lebanon in US-Iran Ceasefire Framework
UK Stocks Ease as Ceasefire Doubts in Middle East Weigh on Investor Confidence
UK Reassesses Cloud Strategy Amid Criticism Over Limited Support Measures
UK Calls for Full and Toll-Free Access Through Strait of Hormuz Amid Rising Tensions
Starmer Signals Strategic Shift for Britain Amid Escalating Iran-Linked Tensions
UK Issues Firm Warning to Russia Over Covert Underwater Military Activity
OpenAI Halts Stargate UK Project, Casting Uncertainty Over Britain’s AI Expansion Plans
Starmer Voices Frustration Over Global Pressures Driving UK Energy Costs Higher
UK Deploys Military Assets to Protect Undersea Cables From Suspected Russian Threat
Canada Aligns With US, UK and Australia as Europe Prepares Major Digital Border Overhaul
Meghan Markle’s Planned Australia Appearance Sparks Fresh Speculation
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
UK to Partner with Shipping Industry to Rebuild Confidence in Strait of Hormuz, Cooper Says
UK Interest Rate Expectations Ease Following US–Iran Ceasefire Agreement
Starmer Signals Major Effort Needed to Fully Reopen Strait of Hormuz During Gulf Visit
UK Fuel Prices Face Ongoing Volatility Amid Global Pressures and Domestic Factors
×