Identity fraud rises and is set to continue

Identity fraud in the UK is set to rise as the economic climate stabilises

Identity fraud increased by 14 per cent in the first half of 2010, with a rise of 22 per cent in the number of victims, compared with the same period last year, according to a recent analysis of fraud trends from the UK's Fraud Prevention Service CIFAS.

The organisation has warned that as the economic situation in the UK continues to improve, levels of identity fraud will increase.

CIFAS claims that recent media attention given to identity fraud has helped to ensure that both knowledge and fear of identity fraud have increased.

More than 50,199 victims of impersonation were recorded by the 265 organisations that are members CIFAS during the first six months of the year. This represents more than 275 instances of fraud every day.

However, although identity fraud is still on the increase, the overall level of fraud recorded by CIFAS decreased by three per cent during the first six months of 2010, compared with the same period last year.

While such a statistic may seem like good news, CIFAS explained that the figures only serve to highlight how prevalent identity fraud is now, and that there is cause for concern in the future, citing the economic recovery as likely to encourage fraudsters to redouble their efforts.

“With the first real signs of economic recovery reported, there is every reason to assume that fraudsters will be taking notice and redoubling their efforts to take advantage,” said the organisation.