Skip to main content

Banks: Fraud

Question for Home Office

UIN HL4881, tabled on 18 January 2018

To ask Her Majesty's Government what steps they are taking to ensure that there is full cooperation between banks in the investigation of fraud.

Answered on

31 January 2018

The Government set up the Joint Fraud Taskforce through which banks work with law enforcement and Government to improve the response to fraud. Under the Taskforce, improved data sharing between the banks and law enforcement has led to the heightened monitoring or closure of thousands of bank accounts connected to fraud. The Taskforce has also championed the Banking Protocol, which helps bank staff recognise signs of fraud, such as unusually high cash withdrawals, and guarantees a rapid enforcement response. The Banking Protocol has stopped over £11 million pounds from getting into criminal hands and led to over 100 arrests.

This Government is committed to stopping stolen funds from getting into the hands of criminals, and where appropriate and legal, returning stolen money back to the victims of fraud. A priority area for the Taskforce is to establish a technical and regulatory framework that will ensure that more fraud losses can be returned to victims. Fraudsters move money rapidly and often through multiple bank accounts. Work is ongoing to test technology that can trace the movement of funds back to the source. Once the concept has been proven the Government will ensure that any legislative and regulatory barriers are removed to enable the technology to be used on a routine basis. This will allow for many more victims to be reimbursed following their loss.

Answered by

Home Office