Fraud in the UK accounts for over 40% of all recorded crime, totaling £629.3m in the first half of 2025, with a 3% increase from 2024. Financial institutions spend £38bn annually on compliance, but most fraud stems from social media and telecoms, not banks, highlighting the need for tech firms to combat online scams. Industry experts call for better collaboration between tech companies, regulators, and law enforcement to address the growing issue of economic crime.

The current system disproportionately burdens banks with compliance costs related to anti-money laundering laws, while technology companies face fewer regulations and consequences for online scam prevention. Concerns are raised by industry representatives, lawmakers, and enforcement bodies about the need for more balance and cooperation in tackling fraud. Proposed solutions include live data-sharing, improved identity checks, and regulatory changes to address gaps in oversight and accountability on digital platforms.

New tactics utilizing generative AI, deepfakes, and altered documents have made it increasingly challenging to detect fraudulent activities, with 62% of businesses attributing the rise in invoice fraud to generative AI. Despite evolving risks, 90% of organizations lack the necessary technology, expertise, and resources to effectively prevent fraud, leaving finance teams vulnerable to these threats. Basware chief product and technology officer emphasizes the importance of AI-powered automation for real-time monitoring, faster detection, and stronger protection against fraud.

Read more at Yahoo Finance: Finance professionals urge tech companies to tackle online scams