Key hotspots outside London and South East include the North West and Midlands. Total reported fraud in the North West amounted to £27m over the year, with an additional £24m reported in the Midlands. A further £66m was recorded across other regions.

Notable regional cases include a £19m fraudulent investment scheme run by a Blackburn man and a case against a Worcester-based supervisor, alleging around 4,000 fraudulent furlough claims totalling £7m.

Reported fraud in London and the South East amounted to £433m in 2024, with the region consistently among the top three hotspots over the past five years. Nationally, the total value of reported fraud and economic crime was £550m, a 76% fall from 2023 amid a 63% drop in high-value fraud cases.

Money laundering was the largest overall type of fraud and economic crime by value across the UK, with BDO’s research finding that such cases totalled £337m in 2024. While money laundering represented the highest number of frauds by value, ‘non-corporate fraud’ such as phishing scams and identity theft were the most common fraud type by number, representing 41% of fraud cases reported over the year.

Commenting on the latest report, Stephen Peters, partner in forensic accounting services and financial crime consulting at BDO, said: “There are some signs of optimism in our data – notably the decline in overall reported fraud values on a national scale. However, the latest edition of our FraudTrack survey also highlights that fraud is prevalent right across the UK, meaning it’s important that we identify regional hotspots to develop more effective fraud prevention and detection strategies.

“By better understanding the varying dynamics and propensity of fraudulent activities across regions, we can help businesses become better prepared in the face of evolving threats. Indeed, regional fraud trends are something businesses should pay particularly close attention to given that, from September this year, the Economic Crime and Corporate Transparency Act (ECCTA) introduces a new corporate criminal offence for failing to prevent fraud.”

The failure to prevent fraud offence to be introduced under ECCTA is designed to incentivise large organisations to step up their fraud prevention strategies by holding organisations criminally responsible for failing to prevent fraud committed by their employees or associates for the organisation’s benefit.

The BDO Fraud Survey 2024 found that 78% of business had begun preparing for the legislation, with 43% reporting an increase in fraud awareness.

Mr Peters concluded: “It’s encouraging to see organisations taking ECCTA seriously and enhancing their fraud risk management strategies accordingly. However, there are still many businesses that are underprepared and will need to take urgent action to ensure they are compliant.”