Fraud is still one of the biggest challenges to the UK’s financial system, with more than £1 billion being taken through payment fraud in 2024 alone. Despite efforts to try to stop such activity, criminals persist and devise new methods of exploiting weaknesses, with serious consequences for individuals, businesses, and the wider economy.
The following statistics are from the UK Finance Annual Fraud Report 2025.
Fraud in numbers: a snapshot of 2024
The total amount stolen through fraud in 2024 was a staggering £1.17 billion, marking a figure that remains broadly unchanged from the previous year. This highlights a persistent issue within the financial services industry. While fraud losses are still high, the efforts to prevent these crimes have been equally significant.
Key Statistics from 2024 (UK Finance Annual Fraud Report 2025):
- £1.45 billion of unauthorised fraud was successfully prevented by banks, an increase of 16% from 2023.
- The total amount lost to unauthorised fraud was £722 million in 2024, with 3.13 million reported cases, up 14% from the previous year.
- 70% of Authorised Push Payment (APP) fraud cases started online, with 16% originating through telecommunications networks.
- Losses from APP fraud decreased by 2% in 2024, totalling £450.7 million.
- £267.1 million of APP fraud was reimbursed to victims by banks, about 59% of the total stolen amount.
The rise of remote purchase fraud
One of the most noticeable trends in 2024 was an increase in remote purchase fraud, which now represents a large proportion of the unauthorised fraud losses. Stolen card details are used by fraudsters to purchase goods online, over the phone, or by mail order. In 2024, the number of remote purchase fraud cases increased by 22%, with losses rising by 11% to nearly £400 million.
This increase is especially worrying, as remote purchase fraud had been decreasing in recent years. The increase may be due to more complex methods being used, such as social engineering methods to convince victims to divulge one-time passcodes (OTPs), which are used by criminals to authenticate illegal transactions.
Authorised Push Payment (APP) Fraud
Whilst unauthorised fraud remains a significant problem, APP fraud is also an increasing risk. APP fraud losses fell by 2% in 2024 but still amounted to £450.7 million with 186,000 cases. APP fraud happens when a victim is manipulated into authorising a payment to a fraudster, often through impersonation or phishing.
Investment fraud represented the highest proportion of APP fraud losses, with £144.4 million stolen, an increase of 34% on 2023, despite a drop in the number of cases. Purchase scams, in which victims pay for goods or services that do not materialise, also increased by 1% in losses, to £87.1 million.
A global challenge
Fraud is not just a national issue, but global. In 2024, 11% of APP fraud losses were associated with payments overseas, up from 6% in 2023. Criminals are increasingly targeting individuals to send money abroad, making it harder for financial institutions to track and recover the stolen funds.
Efforts to combat fraud
The financial services sector has been proactive in its efforts to prevent fraud, investing heavily in technology and working closely with law enforcement, government, and other sectors to disrupt criminal activities. £1.45 billion of unauthorised fraud was prevented in 2024, with banks continuing to strengthen their security systems and consumer education programs.
However, the fight against fraud must be a joint effort. That an increasing amount of fraud is originating from online media and telecommunications networks is an indication that these industries need to become more engaged and take a larger role in fraud prevention.
Moving forward
Despite significant progress, fraud remains a serious threat. The financial services sector, law enforcement, and other stakeholders must work more closely together, sharing data and intelligence in real time to combat fraud effectively. As fraudsters get more advanced, the industry needs to be more proactive in using technology and collaboration to avoid additional losses.
How Neopay can help
At Neopay, we recognise the sophistication of the fraud environment today. As fraud instances increase, and fraudsters constantly devise new techniques, it’s necessary for businesses to remain one step ahead. Here’s how we can support you:
- Fraud prevention audits: Our audits identify vulnerabilities in your company’s security and payment procedures. By highlighting areas of potential risk, we enable you to implement the necessary controls to protect your business against fraud.
- Compliance framework development: Ensuring that your company adheres to all the regulations necessary is the key to avoiding fines and loss of reputation. We offer tailor-made compliance solutions that reflect existing industry regulations and fraud prevention methods.
- Training and awareness programs: One of the most effective ways to prevent fraud is to ensure that your staff are aware of the latest threats. We provide engaging training programs that focus on practical, real-world scenarios, helping your team stay vigilant and equipped to identify suspicious activities.
- Ongoing support: Fraud is an evolving threat. We provide continuing support, including regular updates on new fraud trends, regulatory requirements, and best practices for maintaining strong ongoing security controls.
By partnering with Neopay, companies can be proactive in fraud prevention, staying ahead of the curve to combat the problems presented by an increasingly sophisticated fraud environment. Get in touch with our team to discover more about how we can help safeguard your business and your customers from the increasing risk of fraud.
