The news comes as a further blow for East London, which only last month was named as the most indebted area in the UK.
Based on data including known fraud cases, house prices, the electoral roll, unemployment data and geo-demographic data, Callcredit has assessed the fraud status of the 121 localities that make up the UK. A shocking nine areas of London make it into the top ten most fraudulent areas, with Liverpool taking up the final spot.
Residents of Hereford have been identified as least at risk of falling victim of fraud, followed closely by areas such as Dorchester, Worcester, Exeter and Belfast.
Owen Roberts, head of www.callcreditcheck.com, the online credit report provider comments: "According to some of our recent research, 54% of Brits are more concerned about ID fraud now than they were 12 months ago.
"Fraud is an all too familiar concept these days and no one can be 100% safe from this organised crime, however people can certainly do things to help put themselves at a lower risk of falling victim. Taking simple steps such as shredding documents, protecting your PC and regularly checking your credit report can help you to stay safe and make life harder for the criminals.
"A sound financial standing is especially important during a recession and falling victim to identity fraud can damage your credit rating for a long time. It can be a time-consuming experience but by taking precautions now may save you from months of trying to reclaim control of your own name."
Callcredit's top tips to protect your identity:
Don't throw your identity in the bin - keep track of your important documents and shred those you no longer need
Always check your statements and watch out for small unrecognised transactions as these can be a precursor to serious spending by a fraudster
Make certain you are watching for warning signs by regularly checking your credit report through services such as www.callcreditcheck.com
Keep passwords and PIN codes safe and don't disclose them to anyone
Don't broadcast your identity on the internet by failing to protect your PC
By region, UK government office regions were ranked in terms of fraud as:
1 - London
2 - North West
3 - North East
4 - West Midlands
5 - Yorkshire And The Humber
6 - Scotland
7 - East Midlands
8 - Wales
9 - East
10 - South East
11 - South West
12 - Northern Ireland