As published in the Daily Mail, the new figures reveal that in the run-up to the new code of conduct, banks actually cut back on the amount of money they returned to victims. In the second half of last year, banks paid back £51.7 million, compared to the £39.3 million in the first six months of 2019 – a fall of 24 per cent.
The UK Finance report breaks down how much money was lost to different types of fraud.
Investment scams accounted for the largest proportion of losses – a total of £43.4 million, twice the amount lost in the same period in 2018. The average victim, who is typically tricked into transferring money into funds or investments that don’t exist, lost £12,200. Just £2.9 million of this was refunded by banks.
More than a quarter of all authorised push payment scam losses were the result of invoice and mandate fraud. This is where criminals pose as solicitors or builders, for example, and intercept invoices sent to customers via email so they can swap the bank details for their own.
The number of impersonation scam reports also doubled compared to the first six months of 2018. Earlier this month, TV presenter Helen Skelton was conned out of £70,000 by telephone scammers claiming to be from her bank. UK Finance blamed the rise in fraud on data breaches and theft of personal information.