New research from Canada Life UK has revealed alarming figures on financial scam attempts in the United Kingdom. According to the study, 41% of UK adults, equivalent to roughly 26.8 million people, have been targeted or know someone who has been targeted by a financial scam in the past 12 months.
Disturbingly, 14% of those targeted, equating to 3.6 million adults, personally fell victim to the scams. On average, victims lost £4,715 each, leading to a staggering nationwide loss of £17.0bn.
The research found that young people are more likely to have lost money through scams. Moreover, while 43% of victims managed to recover all their money, over a quarter (26%) did not recoup any of their stolen funds.
The top three financial scam types identified were tax or debt collection scams (32%), advance fee scams (25%), such as fraudulent inheritance claims requiring upfront payment, and “hello mum” scams (23%), where scammers pose as a family member in need of urgent payment. Phishing, smishing, or vishing attacks, typically conducted via email, text, or voicemail, were the methods by which 40% of people were targeted.
Julia Peake, tax and estate planning specialist at Canada Life, said: “With the cost-of-living crisis continuing to squeeze many households, it’s a real field day for criminals and scammers to target vulnerable people. They are opportunistic and play on insecurities, family connections and fear, taking advantage of crises and market disruptions both home or around the world, and the number of people being targeted seems to be going up.
“With the development of AI and fake adverts, the range of communication and types of financial scams are becoming ever more intrusive and sophisticated. Martin Lewis was recently a victim of this and took to the airwaves to air his concern and raise awareness with the public.
“If you experience a scam attempt, or if you fall victim to one, the best thing you can do is to speak up and report it. Unfortunately, the reality is that many people could be caught up in a scam so, should you fall victim, know that you are not alone. These criminal scammers can only be held accountable and brought to justice if the authorities and platforms know about it.”
