London Daily

Focus on the big picture.
Wednesday, Feb 05, 2025

Warning UK losing £2,300 per minute to fraud

Warning UK losing £2,300 per minute to fraud

People in the UK lost £1.2bn to fraud in 2022, the equivalent of £2,300 every minute, according to bank industry group UK Finance.

It said around three million scams took place - slightly less than the previous year - with frauds involving payment cards being the most common.

UK Finance said losses were not always reimbursed and urged tech firms to "share the burden" of covering costs.

Ministers say they will get tougher on scams as part of a national strategy.

Fraud is now the most common crime in the UK, with one in 15 people falling victim.

According to UK Finance, the amount of money stolen in 2022 was actually 8% less than in 2021, and fraud cases were down 4% - but there were still nearly three million cases across the UK in total.

It said the most common type of fraud after card fraud was scams involving purchases.

*  It also found that romance fraud - where a scamming gang pretends to be romantically interested in the victim to get money - increased in 2022.

*  However, investment fraud, where fraudsters pretend to offer an opportunity to invest, fell by a third amid cost-of-living pressures.

UK Finance boss David Postings said drugs gangs, criminal groups abroad and "state-sponsored bad actors" were responsible for the majority of fraud.

He added that while banks were legally obliged to refund so called unauthorised fraud, they did not have to cover the costs of authorised scams - where victims are tricked into agreeing to send sending money to fraudsters.

As a result, banks only refunded about 59% of the losses from this type of fraud on a voluntary basis, amounting to £285.6m of the £485.2m stolen.

Mr Postings said many of the most common frauds started online and called on tech and telecoms companies to play a greater role in reimbursing lost funds.

However, industry group Tech UK said technology firms "already take a wide range of active measures to prevent fraud".

In terms of future threats, Mr Postings said he was concerned that artificial intelligence [AI] would let scammers "spoof people even more than is already the case".

He added that AI could be used to automate fraud and generate convincing scams to trick people.

The government recently released a new fraud strategy, which will include allowing banks to delay payments from being processed for longer, to allow for suspect payments to be investigated.

The strategy will also include banning cold calls on all financial products, such as those relating to bogus insurance or sham cryptocurrency schemes, to help stop scams at source.

Newsletter

Related Articles

0:00
0:00
Close
European Union Proposes Reforms to 1951 Refugee Convention
China's humanoid robots poised to transform everyday living and spiritual functions.
Changes in US tariffs on Chinese products could affect consumers more significantly than they do China.
How Innovations in China's Humanoid Robots Ignite Fierce Competition with the US
Germany Experiences 34% Decrease in Asylum Applications During Migration Discussion
Experts Challenge Conviction of UK Nurse Lucy Letby for Baby Killings
AfD Chief Alice Weidel Enhances Global Standing Through Meeting with Viktor Orban
Nigel Farage's Reform UK Party Leads Poll Amid Growing Public Demand for Change
Conor Murphy Steps Down as Northern Ireland Economy Minister to Join Irish Parliament
Over 1 Million Face Penalties After Missing HMRC Self-Assessment Tax Deadline
Scottish Government Denies Plans to Ban Cat Ownership Amid Controversy
Bridget Phillipson Urges Parents to Prioritize School Attendance Amid Rising Absence Rates
Keir Starmer Advocates for Stronger UK-EU Security Partnership in Brussels
Six English Councils Granted Permission to Raise Council Tax Bills Above Cap Amid Financial Struggles
Keir Starmer Faces Growing Backlash Over Potential Approval of Rosebank Oilfield
AI Consciousness Raises Ethical Concerns, Say Experts
Families Urge NHS England to Release Full Report on Nottingham Triple Homicide
NHS Initiates Largest AI Trial for Breast Cancer Detection
UK Tightens Regulations on Online Sales of Weight-Loss Injections
Gambling Ads Shown to Parents on Baby Monitor App, Raising Concerns
Ancient Irish Rainforests at Risk Due to the Growth of Monoculture Plantations
EU Leaders Deliberate on Defense Strategy Amid Rising U.S. Tensions
EU Leaders Convene Important Summit on Defense in Response to Rising Tensions
Trump Directs Establishment of U.S. Sovereign Wealth Fund, Considers TikTok Purchase
Britain Considers U.S. Gas Imports in Response to Possible Trump Tariffs
French Prime Minister Bayrou Confronts Several No-Confidence Votes Regarding the 2025 Budget
Shutdown of USAID Headquarters in Light of U.S. Government Reduction Initiatives
President Trump Launches Establishment of U.S. Sovereign Wealth Fund with Possible TikTok Purchase
Investigation Launched Following Viral Video of Bodybuilder's Airport Prank
Cooling Blankets: A Remedy for Those Who Sleep Hot or Just a Marketing Ploy?
Trump Wins Again as Canada Agrees to Strengthen Border Security
Trump Seeks Rare Minerals from Ukraine in Exchange for U.S. Support
EU Leaders Reach Consensus to Increase Defence Expenditure in Response to Growing Security Threats
UK Business Confidence Declines Amid Economic Uncertainty, Lloyds Survey Shows
Abhishek Sharma's Century Secures India a 4-1 T20 Series Win Over England
UK Prime Minister Keir Starmer will welcome German Chancellor Olaf Scholz for talks at Chequers.
Australian soccer sensation Sam Kerr confronts a racial abuse trial in London.
Lloyds and Barclays Bank Customers Experience Service Outages
Thames Water Seeks Court Approval for £3 Billion Rescue Plan Amid Crisis
UK Manufacturing Activity Contracts for Fourth Consecutive Month in January, PMI Shows
Ex-British Soldier Receives Sentence for Espionage on Behalf of Iran and Fleeing Custody
Emergency Crews Deployed on Santorini as Earthquake Swarm Raises Concerns
Wall Street Journal Criticizes Trump's Trade War with Canada and Mexico
Trump Freezes Tariffs on Mexico After Agreement on Border Security
Nearly 96% of New Cars Registered in Norway in January Were Electric
One Dead, Thousands Evacuated as Floods Hit North Queensland
Bart De Wever Appointed Belgium's New Prime Minister
Apple Abandons AR Glasses Project Amid Struggles with Technology and Market Demand
US Man Receives Photo Instead of Drill After Placing Order on Chinese Website
U.S. Clinical Trial Investigates Medication to Prolong Dogs' Lifespan
×