Fraud epidemic is worrying

Fraud now accounts for 40% of all crimes recorded. The UK was already among the worst countries in Europe in terms of exposure to scams and fraud before the pandemic

Stay alert to the rise in fraud

FRAUD has long been the crime you ’ re most likely to fall victim to, but it has now become an epidemic.

A recent Office for National Statistics (ONS) report shows that an estimated 5.1 million fraud offences were committed in England andWales in the year to September 2021 – up 36% in two years.

Fraud now accounts for 40% of all crimes recorded.The UK was already among the worst countries in Europe in terms of exposure to scams and fraud before the pandemic compounded the problem.

Scammers quickly exploited our fear and confusion, whether by impersonating the government to offer fake Covid-19 grants, setting up fake NHS websites to steal card details, or posing as delivery companies to target online shoppers stuck at home.

These tactics aren ’t going away and here we reveal the 12 emerging threats we all need to watch out for. Shopping and investment scams From November 2020 to December 2021, individual victims lodged a total of 448,838 fraud reports. Between them, they lost £1.9bn.

Online shopping and auction fraud continues to dwarf other types of fraud, accounting for 23% of all reports, but investment fraud victims lose the most money. On average, victims of pyramid or Ponzi schemes lost £50,400, compared to £650 for victims of online shopping scams. Online shopping and auction fraud You pay for goods on an online marketplace that don ’t arrive, or don ’t receive payments for goods you ’ ve sold. Follow our tips to spot a scam. Other advance fee fraud You pay an upfront fee related to fraud not classified elsewhere,for example career opportunities,clairvoyants or bogus officials. Shopping fraud Any other type of shopping fraud eg when buying goods from a newspaper ad in person or a shop on the high street. Excludes online shopping. Computer fixing fraud You pay a fee to a fraudster claiming they will fix a bogus technical issue on your computer. Other investment fraud Financial fraud involves foreign exchange, cryptocurrency or investment seminars. Dating scams Fraudsters create fake profiles on dating sites/apps or target you on social media to establish a connection then ask for money. Boiler room scams You ’ re cold-called by fake stockbrokers and persuaded to buy shares or bonds in non-existent or near-bankrupt firms. Phone fraud Fraudsters pose as your mobile network to offer non-existent or worthless insurance.Also scams involving missed calls/texts that charge premium rates when you reply. Rental fraud You ’ re tricked into paying upfront fees to secure properties by fake landlords and letting agents. Pyramid/Ponzi schemes Schemes where you have to recruit friends or family (pyramid) or pay returns to early investors to gain credibility (Ponzi). Fraud recovery scams You ’ re asked to pay a fee to someone who pretends they can recover money you lost to a previous fraud. ‘419’ advance fee fraud Fraudsters pose as foreign officials asking for money to release millions from a fictional inheritance or government fund. Named after a section of the Nigerian criminal code.

It’ s often assumed that older people are more vulnerable to fraud, yet those aged 20 to 39 accounted for 39% of all reports to Action Fraud.

This age group was more likely to report rental fraud, pyramid or Ponzi schemes and online shopping scams than other age groups.

Those aged 60 to 79 submitted 20% of all reports (of the 12 fraud types we ’ ve focused on, the most commonly reported were computer fixing fraud, recovery fraud, and ‘419’ advance fee fraud).