You are here: cherry > Press releases for October 2023 > Following the announcement today by UK Finance’s Half-year report, we have a comment from digital compliance expert SmartSearch.

25 October 2023

UK Finance is the collective voice for the banking and finance industry. The report shows that:
• Criminals stole £580 million through unauthorised and authorised fraud in the first half of 2023, a two per cent decrease compared with the same period in 2022.

• Banks prevented a further £651 million of unauthorised fraud from being stolen through advanced security systems.

• 77 per cent of APP fraud started online and another 17 per cent started through telecommunications networks.

• The financial services sector is at the forefront of efforts to protect customers from fraud, including partnering with other sectors, government and law enforcement to prevent and disrupt this criminal activity and bring perpetrators to justice.

SmartSearch’s market-leading technology provides customer and business verification checks for 6,500 clients and 60,000 users across regulated sectors such as banking and finance, property, legal, accounting, insurance and gaming.

Martin Cheek, managing director of SmartSearch and qualified lawyer commented: "The latest UK Finance half-year fraud report reveals eye-watering yet insightful figures. While it is encouraging to see a six per cent decrease in fraud losses, amounting to £580 million in the first half of 2023, regulated firms cannot afford to get complacent.

"The report highlights the effectiveness of advanced security systems that have prevented an additional £651 million in unauthorised fraud. This is a testament to the financial services sector's ongoing efforts to protect its customers - but it is clear that there is more work to be done.

"The staggering 77 per cent of Authorised Push Payment (APP) fraud originating online, with another 17 per cent through telecommunications, underscores an urgent need for robust digital counter measures. The digital landscape is a nefarious and fertile ground for criminal gangs, and firms must be vigilant in safeguarding their reputations.

"As the report correctly points out, the financial services sector is at the forefront of anti-fraud efforts, with established collaborations with other sectors, the government, and law enforcement. That said, the fight against these criminal gangs is a collective responsibility that extends to all regulated firms.

“Technology is playing an increasingly vital role in preventing these crimes and the money laundering that is an inevitable consequence of them.

“Regulated firms must continue to invest in electronic verification to help protect their customers from fraud – and themselves from the fines and reputational damage which comes from anti-money laundering breaches.”