The Justice Committee has launched a new inquiry to investigate
the criminal justice system’s approach to combatting fraud.
Fraud accounts for approximately half of all crimes
committed and could cost the UK over £137 billion a
year. The majority of fraud is facilitated by digital
technologies, meaning many cases can be perpetrated from other
countries. The first half of 2021 saw a 285% rise in online
fraud, such as phishing and text scams, fuelled by the increased
use of online platforms during the pandemic.
Scams often focus on the most vulnerable in society and can cause
serious harm to victims. Consumer organisation Which? calculated
that 350 people a week were victims to a fraud that left them in
severe emotional distress. Depending on the form of the fraud,
victims do not always get their money back and the long-term
financial consequences can be severe.
Prosecuting fraud cases can be complex, expensive and
time-consuming. The Government has made tackling fraud a
priority, but an historic lack of resources
dedicated to this form of crime in the criminal justice system
means much work is needed. Just 3% of incidents
reported to Action Fraud result in a charge or summons and as
little as 1% of police resources are dedicated to this form of
crime.
The Justice Committee will consider how fraud
convictions are investigated and prosecuted in the courts. It
will assess the likely impact of new strategies, including the
Government’s fraud action plan for 2022-5 and the CPS economic
crime strategy, on tackling this growing and evolving form of
crime. It will also investigate the experiences of those who have
been victims of fraud and the impact on them.
The Committee expects to begin holding formal evidence
sessions in the new year.
Launching the inquiry, Chair of the Justice Committee Sir Bob
Neil MP said:
“Being a victim of fraud can have terrible consequences, leaving
people feeling duped and vulnerable, having lost life changing
sums of money. The ever-increasing use of online platforms,
particularly during the pandemic, has seen a huge increase in
cases of fraud while making it easier for criminals to operate
across borders.
“We have launched this inquiry to understand what more the
criminal justice system can do to combat and prosecute this form
of crime. We will examine if current approaches are doing enough
to support victims and look at what more can be done to bring
criminals to justice.”
Terms of reference
The Justice Committee welcomes written submissions on the
following questions. More information on how to submit evidence
is available here. The deadline for
submissions is 17 January 2022.
- How the Justice System conducts fraud investigations and
prosecutions;
- The roles of the Crown Prosecution Service and the Serious
Fraud Office in the prosecution of fraud;
- The experience of the impact and prosecution of fraud among
those working in the legal system and victims of fraud;
- Plans to tackle rising instances of fraud, particularly the
rise of fraud facilitated online;
- The prosecution of frauds that are not of sufficient scale to
be investigated by the Serious Fraud Office;
- Problems with evidence and disclosure in the prosecution of
fraud cases;
- What can be done to make it easier to investigate frauds
conducted on the UK public from abroad;
- Progress in relation to the Government’s Fraud Strategy and
the Crown Prosecution Service’s Economic Crime Strategy.
