The police have launched a new unit to tackle all types of banking fraud in the UK.

The Payment Industry and Police Joint Intelligence Unit (PIPJIU) is the result of the merger of the banking industry’s Fraud Intelligence Bureau (FIB) and the intelligence function of the Dedicated Cheque and Plastic Crime Unit (DCPCU).

The latter is a joint initiative between UK law enforcement and retail banks to tackle card and cheque crime.

The new unit’s 15-strong workforce includes banking industry fraud specialists, as well as officers from the City of London and Metropolitan police forces.

In addition to the creation of PIPJIU, payments association Apacs has launched a fraud information sharing system to be used by the banking industry.

The system will enable users to share information on all confirmed, attempted and suspected fraud in a central, shared database.

"We welcome these new intelligence sharing initiatives,” said Home Office minister Vernon Coaker.

“The Home Office is committed to the principle of data sharing to help prevent fraud and has recently legislated to make provision for data sharing between the public and private sectors."

The combined amount invested by banks in the DCPCU, the joint intelligence unit and the new information sharing system now totals almost £5m per year.

“With this increased funding and a wider remit, our primary objective is to build on the already successful work undertaken by the banking industry and the DCPCU in combating fraud,” said DCPCU head John Folan.

“We are confident that the merging of FIB and the DCPCU’s intelligence unit will aid efficiency and help in the ongoing fight to combat all types of banking fraud.”