The Nature and Extent of Pensions Fraud

For the first time, we are able to provide a realistic estimate for the impact of fraud on the UK pension sector. Our report discusses the ways in which the pension industry is vulnerable to malicious cybercrime attacks and fraud attempts from both internal and external parties, and puts a value to it.

While there is a vast honest majority in this sector, like in other sectors there is also a small dishonest minority and that minority can cause serious damage.

Download our full report for the key steps towards better protection.

Key highlights:

• Since 2009, losses owing to fraud have risen by over 55%.
• Fraud losses in the UK equate to £190 billion each year.
• We estimate fraud losses in the UK pension sector to have reached £6 billion.
• Organisations should expect losses attributed to fraud to account for 3-6%.

The pensions sector remains at critical risk to fraud, given the scale, sum and diversity of investments pension schemes are responsible for, combined with counter fraud and cybercrime processes which are not yet fully adapted to very rapidly evolving threats.

The report specifically looks at UK based pension schemes and provides real life case studies which highlight areas where fraud can occur, such as:

Fraud against pension schemes is serious because of both its scale and impact. A greater understanding of the real financial cost of fraud will drive further and faster progress in ensuring that pension schemes are properly protected.

Register your interest for our ‘fraud and pensions webinar'