UK Finance today releases its latest fraud investigation report covering 2021
This is a follow-up to last year’s fraud investigation report, which showed the scale of criminal activity and how criminals took advantage, often using weaknesses outside traditional banking systems for their schemes.
The report found that the pandemic had a lot of unforeseen consequences, one being an increase in fraud. Criminals took advantage by exploiting people’s doubts and fears during this time period to commit their crimes externally outside banking systems
With the increase in tech crime, the young are more susceptible to being tricked. Often transferring money through social media platforms, especially WhatsApp. With social media, shopping sites and dating apps being the preferred province of 21-30 year olds it is no surprise that they make up a large portion on Barclay’s victims list. The older generation have been seen as easy targets for fraudsters in the past, but many have wised up to the tactics used, and tend to take time to consider decisions more so than Millennials and Gen Z’s.
The banking industry in the UK has released a statement warning that energy bill and tax scams are becoming more common as people’s fears of rising prices continue. According the the fraud investigation team, the criminals target younger age brackets because they’re often unfamiliar with such schemes, making them easier targets for impersonation frauds.
There can be some legal protection if you lose money from your account or bank details get stolen, so banks have an incentive to crack down harder than before according to this type crime but what may come as surprising is just how many people fall prey each day without realising too late their credit card was fraudulently used.
The Government is fighting back with measures that give authorities access to information on crime and money-laundering activities in order try reverse the 8% increase of recorded scams (which reached £1.3 billion last year alone). This includes unauthorised fraudulent activities such as identity theft, credit card and impersonation scams. Using our departure from the EU, the UK government will introduce measures giving “new powers on information sharing and tracking stolen money.” This is to help counter the unfavourable limitations that GDPR imposed on commerce, law enforcement, and general public. This new bill will give British law enforcement, and fraud investigators greater power to trace and track down these criminal gangs.
The table on UK Finance shows the latest figures for authorised and unauthorised fraud cases.