Fraud is a serious threat to both the UK economy and individuals, with an estimated cost of £6.8bn in 2019-20. It not only affects financial stability, but also erodes trust and confidence in the economy itself...
Be cautious when sharing personal information online, monitor your bank account and credit cards, and report anything suspicious!
One in 15 adults in the UK fell victim to fraud in the year ending December 2022, with 18% of them becoming victims more than once. This highlights the need for reinforced prevention measures to protect us all from the growing threat of fraud.
The government, business community, media, and the public have all recognised the severity of fraud and have taken steps to address it. The UK has a dedicated national reporting centre for fraud and cybercrime, Action Fraud, which received victim reports totalling a loss of £2.35bn in the year ending March 2021. This shows the scale of the problem and the urgent need for preventive measures.
"One of the key strategies for preventing fraud is education and awareness!"
Both individuals and businesses must be aware of the different types of fraud and how to protect themselves against them. This includes understanding common fraud vectors, such as phishing emails, fake websites, and phone scams, and knowing how to identify and report them. In addition, businesses should educate their employees on cybersecurity best practices and regularly update their security systems to prevent data breaches.
Another important aspect of fraud prevention is the use of technology. As fraud attempts become more sophisticated, we all need to stay ahead of the game by using advanced technology to protect ourselves. This includes implementing multi-factor authentication, using secure payment gateways, and regularly updating firewalls, antivirus software and operating systems.
Collaboration is also key in the fight against fraud. Businesses, government agencies, and law enforcement must work together to share information and resources to prevent and combat fraud. This can include sharing data on known fraudsters, coordinating investigations, and implementing joint awareness campaigns.
By working together, we can strengthen our collective defences against fraud and protect the UK economy and individuals.
For example, if your security software offers to send fraud and hacking attempt reports to the software authors, do ensure it's turned on. Likewise, educating our friends and family and ensuring their own security measures are up to date will certainly help.
Be cautious when sharing personal information online, monitor bank and credit card statements, and report any suspicious activity to the relevant authorities.
In addition, the government has a crucial role to play in reinforcing fraud prevention. This includes implementing strong regulations and laws to deter fraudsters and providing resources for law enforcement agencies to investigate and prosecute fraud cases. The government can also work with businesses to develop and implement fraud prevention strategies, as well as provide support for victims of fraud.
"Fraud is an ever growing threat!"
It is crucial for everyone to take action to prevent it. By implementing strong education and awareness programmes, utilising advanced technology, collaborating with others, and taking personal responsibility, we can reinforce the prevention of fraud and protect everyone from this costly and damaging crime.
Stay vigilant and let's all take action against fraud.
Until next time ...
ROGER EDDOWES Business Godparent
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more about prevention of fraud, it may be a great idea to call me on 01908 774320 and let's see how I can help you.
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Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
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