The UK is facing a serious and growing problem with fraud, and it’s making big waves across banks and social media platforms alike.
Leading voices in banking are sounding the alarm that fraud isn’t just increasing — it’s spiraling out of control.
They say the country is becoming a hotspot for scammers, and unless major tech companies step up, things are only going to get worse.
Banks Warn Payment Scams Are Surging Online
Charlie Nunn, CEO of Lloyds Bank, told MPs that scams involving payments are escalating rapidly.
He highlighted that these fraudsters are getting clever, often tricking people after they interact on social media or online marketplaces.
Victims are then persuaded to transfer money, thinking it’s legitimate.
Nunn described the situation as “really disturbing” and said the emotional toll on individuals caught in these scams is heartbreaking.
Meta Under Pressure Over Its Role in Online Scams
Meta, the US tech giant behind Facebook and Instagram, was singled out during the Treasury committee hearing.
Latest figures reveal that 60 percent of payment scams are connected to Meta platforms.
Paul Thwaite, CEO of NatWest, revealed a shocking figure: £2,300 is lost every single minute to these types of fraud in the UK.
MPs were told that three-quarters of such scams start online, showing just how much the digital world is being exploited by criminals.
The Tricks Fraudsters Use to Steal Millions
The tactics scammers use can sound like something out of a thriller.
Some impersonate celebrities — even big names like Brad Pitt — while others engage in “romance scams,” where they build fake relationships to gain trust and convince victims to hand over cash.
Banks have tried slowing the flood of fraud, but their efforts haven’t been enough.
Nunn warned that without earlier intervention from banks and tech firms, the problem will only intensify.
Frustration Over Unequal Responsibility Between Banks and Tech Firms
Banks have a tough job reimbursing victims of so-called “authorised push payment” fraud, where people are tricked into moving their own money.
But a key point of frustration is that while banks bear the cost of these refunds, tech companies like Meta aren’t held financially responsible for the role their platforms play.
Lloyds and NatWest leaders want social media giants to share the burden more fairly.
Financial Impact of Fraud in the UK Is Staggering
Data from UK Finance shows that British consumers lost a staggering £1.2 billion to all types of fraud in 2023.
Thwaite emphasized the scale of the problem, pointing out that nearly 40 percent of all crimes in the UK relate to financial fraud.
The numbers are more than alarming — they’re a call to action for everyone involved.
Banks and Meta Are Working Together But Want More Progress
While banks and Meta are collaborating to tackle fraud — even taking down scam-driven sites — the battle is far from won.
Thwaite stressed that progress is possible but tech companies must step up their efforts.
Meta responded by highlighting their Fraud Intelligence Reciprocal Exchange (FIRE) program, which encourages banks to share information about scammers to better protect users.
They called for more UK banks to join the initiative.
A Collective Effort Is Essential to Fight Fraud
Both sides agree that fraud is a complex problem that crosses industries and platforms.
Tackling it won’t be easy or quick.
But the message from banks and MPs is clear: without stronger cooperation and accountability, the UK will continue to be vulnerable to fraudsters who cost people and the economy dearly.