‘Shockingly’ low number of fraud cases solved

● Losing battle being fought against this crime, says consumer group Which?

A “shockingly low” number of fraud reports are being successfully cleared up, Which? claims.

The consumer group said its analysis of available figures found that more than 96 per cent of crimes reported to UK body Action Fraud are closed without a successful outcome.

Which? said its findings suggest a “losing battle” is being fought against this crime.

Those representing police and the finance industry said a strong focus is put on preventing fraud happening in the first place as well as solving cases.

Some crimes reported to Action Fraud, which acts as a central point of contact for victims of scams, may end up being passed on to a local police force for investigation, typically one where the suspect lives.

Which? also submitted freedom of information (FOI) requests to 43 police forces across the UK, asking them to provide data on fraud investigations. Of those that responded, 29 out of 30 had seen their performance slip between 2014 and 2016, the consumer group said.

Which? also said it had found a “lack of transparency” around the available statistics for fraud.

It claimed the current process for investigating fraud can be slow, which could in part be due to the need to request data from banks.

Ceri Stanaway, Which? Money editor, said: “The shockingly low success rate for fraud investigations is leaving many victims deprived of justice and suggests the authorities are fighting a losing battle against this type of crime.

“Unfortunately, investigations are often conducted at a slow pace - with communication between banks and the authorities often dragging on for weeks before police can launch a full inquiry.

“We’d urge consumers to be extremely cautious when dealing with unsolicited contact - as fraud is on the rise.”

Action Fraud is run by the City of London Police and works alongside the National Fraud Intelligence Bureau.

Action Fraud is currently preparing to introduce an upgraded computer system to improve the service for victims.

A spokesman for trade association UK Finance said: “The finance industry invests millions of pounds in advanced security systems to protect customers and last year prevented £2 in every £3 of attempted unauthorised fraud.

“Intelligence is continuously shared across the industry and with law enforcement to crack down on fraud and the criminals responsible.

“The industry also fully sponsors a police unit dedicated to tackling banking and card fraud, which successfully prevented £25 million of losses and disrupted seven organised criminal gangs in the first half of this year alone.

“Customers should always follow the advice of the Take Five to Stop Fraud campaign, and be wary of any requests out of the blue asking for personal or financial details or to transfer money.”

A Home Office spokesman said: “We remain committed to improving the law enforcement response to fraud.”