The 265 organisations that are members of CIFAS - The UK's Fraud Prevention Service - report:
• a 14% jump in identity fraud compared with the same period in 2009,
• a 22% increase in the number of victims of impersonation compared with the same period in 2009, and
• the likelihood of more problems in the future.
The recent attention given to identity fraud - particularly the theft of a real person's identity by an anonymous attacker - has helped to ensure that knowledge and fear (of the effects) of identity fraud are now greater than before, according to CIFAS.
Despite this, there has been a 14% increase in identity fraud; demonstrating that, behind the stories, lies a very large problem. CIFAS communications manager Richard Hurley explained: "There is no doubt that the phrase ‘identity fraud' is commonly understood and appreciated in today's world. In spite of our increased awareness and understanding of some of the steps we can take to help prevent falling victim to identity fraud, however, the numbers continue to rise."
Over 50,199 victims of impersonation were recorded by CIFAS members during the first six months of the year: an increase of 22% from the same period in 2009. This represents more than 275 instances of an innocent victim's identity being abused every day.
The overall level of fraud recorded by CIFAS members decreased by a little over 3% during the first six months of 2010 (in comparison with the same period of the preceding year). While such a decrease may seem like good news, this overall decrease only serves to highlight how prevalent identity fraud is currently, and there is very real cause for concern in the future.
Richard Hurley explained: "The past few years have seen the UK enter a period of recession and begin a slow climb out of it.
“Over this same period, there have been changes in the overall patterns of the fraudulent activity taking place: from a peak in the levels of application fraud (telling lies on applications for products or services), followed by a phenomenal surge in facility takeover (or account takeover) fraud and the re-emergence of identity fraud.
“With the first real signs of economic recovery beginning to be reported, there is every reason to assume that fraudsters will be taking notice and redoubling their efforts to take advantage."
