Professional gangs thrive as police allocate jusr 1% of resources to epidemic

Professional gangs of fraudsters are committing "crime without consequence" because police are dedicating just 1% of resources to the epidemic - despite it accounting for 40% of all offending.

Last year the previous government published a new strategy to tackle the explosion of fraud cases, but fresh Home Office data shows prosecutions for fraud have actually fallen over the last 12 months.

And a Freedom of Information request further exposes how police forces across the UK are being crippled by a chronic lack of resources which is preventing them from tackling the mammoth problem.

Telecoms giant Virgin Media O2 invests millions in counter fraud measures each year and prevented more than £250 million worth of offending in 2023, equivalent to one fake transaction every two minutes - yet say compelling cases they pass to police are failing to be prosecuted.

Last year there was an average of just 84 fraud convictions across the 43 English and Welsh police forces with one constabulary serving a population of more than half a million people being responsible for achieving just 23 convictions

Retired caterer Eddie Bech, 70, suffered a "nightmare experience" after being scammed online when trying to purchase a new puppy following the death of one of his dogs.

After finding a dog via a social media selling site he sent a £300 'deposit' to secure the £2,000 purchase. He spoke to the fraudster by phone who claimed to be based in northern Scotland meaning there would be a delay transporting the new pet to Bristol.

The fraudster then repeatedly pressured him into sending the money for the "bargain" price purchase with Eddie desperate for the new pet.

He said: "It was a reputable website but of course you don't know with the sellers advertising on there. I found out after it was a Russian account, which they closed two days later.

"I felt stupid, I'm old enough that I should know better. I contacted the police fraud squad, who I felt weren't very helpful and left me weeks without hearing anything. They made me feel foolish, and I understand I was foolish, but they preyed on the fact that I wanted something, and they knew what I wanted."

Meanwhile three of these forces have no specific officers dedicated to investigating fraud with the result being just one in 20 cases reported to Action Fraud ever reaching the investigation stage.

Yet figures show 69% of British people were targeted by a potential fraudsters over the past 12 months with the Crime Survey reporting 3.1 million incidents with victims losing an average of £1,159.

Now the major industry player is calling on the Government to appoint a dedicated minister for fraud and oversee an overhaul how forces tackle the issue by creating a single centralised, specialised national body that handles all instances of fraud.

Currently victims are told to contact Action Fraud - the National Fraud and Cybercrime reporting centre - which then passes reports on to the relevant force.

Yet just 1 in 20 (6%) cases ever reached police forces for investigation in the past year with a smaller proportion resulting in charges being brought.

Virgin Media O2 has hired former police officers to investigate prolific fraudsters and submitted 34 police-compliant evidence packs focused on cases where they believe there is realistic prospect of a conviction over the past two years.

Yet the firm has only been made aware of two successful prosecutions.

Chief operating officer Rob Orr said: "Fraud is at epidemic levels, with organised gangs of fraudsters operating professional call centres which relentlessly target Brits every second of every day.

"We're constantly building our defences higher and sharing compelling evidence of what these gangs are up to but with no real deterrent in place, these criminals can repeatedly steal free from the threat of prosecution.

"Despite their best efforts, dedicated police officers are handcuffed to working through a patchwork of local forces, many of which lack the specialist skills and teams needed. Too often, this leaves them unable to act - even on slam-dunk cases.

"To help turn the tide, we urgently need Government to appoint a minister responsible for fraud and address the structural problems by creating a centralised, specialised and properly resourced national body to handle all instances of fraud to tackle this complex, cross-border crime."

Virgin Media O2's investigation team spent more than two years building a compelling case against a large-scale organised crime gang targeting UK consumers over a multi-year period. The operator uncovered evidence which linked around £250,000 worth of fraudulent activity and hundreds of stolen devices to two individuals in the UK.

Yet despite their investigations team painstakingly linking hundreds of fraud cases back to two suspects and working closely with the police to provide a comprehensive evidence base two years ago, the case has stalled, and no charges have been brought.

The suspects who have defrauded many hundreds of victims continue to walk free with intelligence indicating this fraud ring continues to operate and target the public.