Crypto and social media blamed as investment fraud losses rise by 55%

Investment fraud losses hit £97.7m in the first six months of the year

- Rupert Jones

The amount of money lost in Britain to investment frauds has leapt 55% in a year as cryptocurrency fraudsters intensified their efforts, new data shows.

Official UK banking industry data showed that while the total amount stolen by fraudsters rose 3% to £629m in the first six months of this year compared with last year, investment scam losses have grown, reaching £97.7m during the period, or more than £500,000 a day.

With these scams, criminals trick their victims into moving their money into a fictitious fund or paying for a fake investment, usually using the lure of a high return. While these frauds can involve assets such as gold, wine, property, carbon credits and land, it is thought fake cryptocurrency now tops the list.

The banking body UK Finance, which issued the data, said industry intelligence pointed to “an ongoing prevalence of scams related to cryptocurrencies and the promise of significant returns advertised on social media”.