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The UK Sees a Small Reduction in Financial Fraud Compared to 2016

by on September 29, 2017

Financial fraud is of great concern to every single country in the world. Fighting this trend has proven to be very difficult as of late. Surprisingly enough, the UK is making some real progress in this department. More specifically, the region reduced financial fraud losses by 8%. A positive trend, although it is only a small drop in the bucket if no further progress is made. The first half of 2017 looks promising in this regard, though, that much is certain.

Over in the United Kingdom, there are plenty of financial problems to worry about. Fraud is just one of them, even though things have grown out of proportion as of late. Thankfully, things are slowly improving again. More specifically, with financial fraud numbers going down by 8% during the first six months of 2017, progress is effectively made. There is still a net loss of £366.4m to take into account, though.  A lot of work still needs to be done in this regard.

Financial Fraud Numbers go Down in the UK

At the same time, the UK Finance report shows over £750m of financial fraud was prevented in 2017 so far. That is a pretty substantial number. It represents around 67% of all fraud attempts across the UK as a whole. Data hacks and malware remains two of the main culprits responsible for financial fraud, though. Addressing those problem areas will not be easy by any means.

UK Finance’s Katy Worobec comments as follows:

“Tackling fraud is a top priority for the entire industry. But financial fraud is not just an issue for the banking sector – its harmful effects stretch far and wide. This is why when it comes to prevention, protection or deterrents the industry is committed to taking a collaborative approach to curb these crimes and is launching the latest Take Five consumer campaign. Whether it’s banks refining their own security systems or a retailer holding customer data securely, everyone has a part to play.”

No one can deny criminals have become better at obtaining consumer information. Impersonation scams are on the rise across all of the United Kingdom. Communicating via phone, email, or even text message are the three main attack vectors. As long as the relayed message sounds convincing enough, consumers will readily give up their details. Once they do so, it is only a matter of time until financial fraud occurs. A problematic situation which won’t be resolved overnight.

Header image courtesy of Shutterstock

JP Buntinx is a 30-year old FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he is working to achieve the same level of respect in the FinTech sector.
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