London Daily

Focus on the big picture.
Monday, Aug 18, 2025

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
Emails Worth Billions: How Airlines Generate Huge Profits
The CEO Who Replaced 80% of Employees for the AI Revolution: "I Would Do It Again"
Character.ai Bets on Future of AI Companionship
China Ramps Up Tax Crackdown on Overseas Investments
Japanese Office Furniture Maker Expands into Bomb Shelter Market
Intel Shares Surge on Possible U.S. Government Investment
Hurricane Erin Threatens U.S. East Coast with Dangerous Surf
EU Blocks Trade Statement Over Digital Rule Dispute
EU Sends Record Aid as Spain Battles Wildfires
JPMorgan Plans New Canary Wharf Tower
Zelenskyy and his allies say they will press Trump on security guarantees
Beijing is moving into gold and other assets, diversifying away from the dollar
Escalating Clashes in Serbia as Anti-Government Protests Spread Nationwide
The Drought in Britain and the Strange Request from the Government to Delete Old Emails
Category 5 Hurricane in the Caribbean: 'Catastrophic Storm' with Winds of 255 km/h
"No, Thanks": The Mathematical Genius Who Turned Down 1.5 Billion Dollars from Zuckerberg
The surprising hero, the ugly incident, and the criticism despite victory: "Liverpool’s defense exposed in full"
Digital Humans Move Beyond Sci-Fi: From Virtual DJs to AI Customer Agents
YouTube will start using AI to guess your age. If it’s wrong, you’ll have to prove it
Jellyfish Swarm Triggers Shutdown at Gravelines Nuclear Power Station in Northern France
OpenAI’s ‘PhD-Level’ ChatGPT 5 Stumbles, Struggles to Even Label a Map
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
High-Stakes Trump-Putin Summit on Ukraine Underway in Alaska
The World Economic Forum has cleared Klaus Schwab of “material wrongdoing” after a law firm conducted a review into potential misconduct of the institution’s founder
The Mystery Captivating the Internet: Where Has the Social Media Star Gone?
Man Who Threw Sandwich at Federal Agents in Washington Charged with Assault – Identified as Justice Department Employee
A Computer That Listens, Sees, and Acts: What to Expect from Windows 12
Iranian Protection Offers Chinese Vehicle Shipments a Cost Advantage over Japanese and Korean Makers
UK has added India to a list of countries whose nationals, convicted of crimes, will face immediate deportation without the option to appeal from within the UK
Southwest Airlines Apologizes After 'Accidentally Forgetting' Two Blind Passengers at New Orleans Airport and Faces Criticism Over Poor Service for Passengers with Disabilities
Russian Forces Advance on Donetsk Front, Cutting Key Supply Routes Near Pokrovsk
It’s Not the Algorithm: New Study Claims Social Networks Are Fundamentally Broken
Sixty-Year-Old Claims: “My Biological Age Is Twenty-One.” Want the Same? Remember the Name Spermidine
Saudi Arabia accelerates renewables to curb domestic oil use
U.S. Investigation Reports No Russian Interference in Romanian Election First Round
Oasis Reunion Tour Linked to Temporary Rise in UK Inflation
Musk Alleges Apple Favors OpenAI in App Store Rankings
Denmark Revives EU ‘Chat Control’ Proposal for Encrypted Message Scanning
US Teen Pilot Reaches Deal to Leave Chile After Unauthorized Antarctic Landing
Trump considers lawsuit against Powell over Fed renovation costs
Trump Criticizes Goldman Sachs Over Tariff Cost Forecasts
Perplexity makes unsolicited $34.5 billion all-cash offer for Google’s Chrome browser
Kodak warns of liquidity crisis as debt obligations loom
Cristiano Ronaldo and Georgina Rodríguez announce engagement
Taylor Swift announces 12th studio album on Travis Kelce’s podcast after high-profile year together
South Korean court orders arrest of former First Lady Kim Keon Hee on bribery and corruption allegations
Asia-Pacific dominates world’s busiest flight routes, with South Korea’s Jeju–Seoul corridor leading global rankings
Private Welsh island with 19th-century fort listed for sale at over £3 million
JD Vance to meet Tory MP Robert Jenrick and Reform’s Nigel Farage on UK visit
Trump and Putin Meeting: Focus on Listening and Communication
×