UK 2025 Fraud Report Signals Ongoing Risk Management Gaps

UK Finance has released its Annual Fraud Report 2025, offering a detailed view of fraud trends across the UK’s financial sector. In 2024, criminals stole £1.17 billion through both unauthorised and authorised fraud. While total losses remained broadly consistent with 2023, the number of fraud cases rose by 12%, reaching over 3.3 million incidents.

Key takeaways:

·      Unauthorised fraud accounted for £722 million, with card-not-present transactions continuing to be a key driver.

·      Authorised Push Payment (APP) fraud totalled £459 million. Although APP volumes fell, investment scams within this category rose sharply, from £108 million to £144 million.

·      Social engineering and impersonation scams remain persistent, contributing to both unauthorised and authorised fraud losses.

Why it matters: 

The report underscores a persistent challenge: fraudsters are adapting faster than firms can respond. Many of the tactics observed in 2024 involve sophisticated deception, misuse of personal data, and exploitation of process or oversight gaps. For regulated firms, particularly in banking, payments, and fintech, the findings highlight the need for stronger fraud risk assessments and better alignment between fraud prevention, AML, and cybersecurity controls.

ComplyLens insight The 2025 report confirms what many compliance teams already know: fraud is no longer isolated to a single team or product line. It’s a systemic risk that touches every part of the financial ecosystem.

At ComplyLens, we support firms in strengthening their approach with:

• Fraud Risk Assessments Our frameworks help map risk across business units, channels, and third parties, enabling better prioritisation and targeted control improvements.

• AML and Transaction Monitoring Enhancements We work with clients to improve detection models, focusing on fraud-linked typologies and high-risk transaction patterns.

• Trade and Communication Surveillance We help firms monitor for misconduct and red flags across trading activity and internal communications, including indicators of fraud, collusion, or manipulation.

• Sanctions Screening and Controls Our experts assist in ensuring firms are protected against fraud involving shell entities, identity misuse, or sanctioned individuals.

Why now Fraud is no longer just a compliance issue — it’s a core business risk. With threat actors becoming more coordinated and technologically advanced, firms must invest in more effective, forward-looking fraud risk frameworks.