Jim Shannon
Main Page: Jim Shannon (Democratic Unionist Party - Strangford)Department Debates - View all Jim Shannon's debates with the HM Treasury
Authorised Push Payment Fraud
Jim Shannon Excerpts(1 year, 2 months ago)
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Kirsten Oswald (East Renfrewshire) (SNP)
I beg to move,
That this House has considered authorised push payment fraud.
It is a pleasure to serve under your chairship, Mr Dowd. I am pleased to bring forward this debate, because I have had protracted discussions with a business in my constituency that has been targeted by fraudsters, resulting in some of its clients losing thousands of pounds through authorised push payment scams. Those scams deceive an individual into unknowingly transferring funds to a criminal. They now represent the largest type of payment fraud in the UK, both in the number of scams and value of losses.
Jim Shannon (Strangford) (DUP)
I do not normally intervene this early, but this issue is critical for my constituents in Strangford—and indeed for everyone, I suspect. I congratulate the hon. Lady on bringing forward this debate. The latest figures are astounding: £249.1 million was lost to APP scams in the first half of 2022. That indicates how prevalent these scams are. Messaging about these scams is not as effective as it should be. Does she agree that more steps need to be taken to safeguard vulnerable people who are losing money? They are not great at tech, and have been taken advantage of.
Kirsten Oswald
I share the hon. Gentleman’s concerns. In 2021, losses to this type of fraud totalled £583.2 million. That represents a 38% increase on the previous year. It is worth noting that a lot of cases of authorised push payment fraud go unreported, so those figures are likely to underestimate the true amount lost to these scams. As he suggested, the impact of fraud can be devastating. Victims can lose substantial sums of money. The impact on their health and wellbeing cannot be over-stated. Research from Which? showed that 71% of fraud victims felt that their experience had a detrimental impact on their stress levels; 63% said it was harmful to their mental health, and 39% said it affected their physical health.