Brian Sims
Editor
Brian Sims
Editor
NEW FIGURES published as part of KPMG UK’s mid-year Fraud Barometer show that money laundering has been the most common fraud type by value in the last six months. Nine cases, collectively worth £128.2 million, have been heard in UK Crown Courts so far this year.
The research, which records alleged fraud cases with a value of £100,000 and over heard in UK Crown Courts, reveals that 122 fraud cases in total were heard in the first six months of the year. This is up from 105 cases during the same period in 2023.
By contrast, fraud value was just over £305 million, representing a 14% drop compared to the first six months of the previous year, when the total fraud value stood at £354.2 million.
Commenting on the research findings, Roy Waligora (partner and head of UK investigations at KPMG) said: “Money laundering continues to be a problem in the UK due to the complexity and sophistication of financial systems that can be exploited for illegal activities. It will be interesting to see if the relatively new requirement for overseas entities to be registered at Companies House will result in even more of these cases soon reaching the courts.”
Bearing the brunt of fraud
So far in 2024, the public sector has been the biggest victim of fraud in terms of value. 26 fraud cases related to the Government have been heard, with a combined value of £193.4 million. That’s an increase of 30% compared to the same period in 2023.
The general public also continues to bear the brunt of fraud, with 41 cases totalling £33.2 million being heard in the UK’s courts during the first half of this year.
Roy Waligora observed: “Increased attention on public sector fraud has led to better detection and legal action. This vigilance may raise case numbers in the latter half of the year. However, UK courts face challenges managing fraud cases amid broader judicial pressures. Fortunately, the anticipated guidance on what constitutes ‘reasonable procedures’ to prevent fraud by the Government is expected to streamline fraud management and prosecution.”
Identifying trends
The KPMG Fraud Barometer is the longest running study of its kind in the UK. It has been tracking fraud trends since the 1980s and its analysis of cases has continually identified trends in the types of fraud that have dominated courts.
As stated, the Fraud Barometer considers major fraud cases being heard in the UK’s Crown Courts where charges are £100,000 or above that have been reported on in the media.
