UK scam losses reach £1.3bn as criminals use AI

Fraud losses in the UK reached almost £1.3bn in 2025, according to UK Finance, as criminals increasingly used AI to manipulate victims and scale attacks. Banking data recorded 4.1 million cases of fraud in which money was stolen last year, up 11% on a year earlier and a 31% rise on 2023.

Investment scam losses rose by 40% in a year to a new record high, while purchase scams using stolen card details also reached record levels. Romance fraud remained a major concern, with criminals using fake profiles on social media and dating sites to groom victims, and UK Finance said one fraudster even married a victim to continue stealing money.

Banks warned that fraud has become a national security threat, with AI enabling criminals to mimic the voices of celebrities, relatives and friends. UK Finance called for stronger, enforceable responsibilities on tech platforms, including tougher action on fraudulent advertising, seller verification and secure payment systems. In authorised push payment fraud, losses rose by 19% last year, and 12% of stolen money was not reimbursed.