APP Fraud Losses Hit New High in 2025

Authorised​‍​‌‍​‍‌​‍​‌‍​‍‌ Push Payment (APP) fraud has been one of the major concerns in the UK. Although the overall number of fraud cases has declined, the amount stolen has increased, primarily due to high-cost fraudulent investment schemes. UK Finance states that fraud losses due to APP reached £257.5 million in the first half of 2025, which is a 12% increase compared to the previous ​‍​‌‍​‍‌​‍​‌‍​‍‌year.APP Fraud Losses Hit New High in 2025 as investment scams push financial losses higher despite a fall in overall fraud cases.

What Is Authorised Push Payment (APP) Fraud?

APP fraud occurs when a person is tricked into transferring money to a fraudster, believing the payment is legitimate. Unlike card fraud, in which the victim authorizes the transaction, the victim authorizes the transaction, making recovery more difficult.

Common APP fraud types include:

• Purchase scams
  
• Investment scams
  
• Romance scams
  
• Impersonation scams

Average Loss per APP Fraud Case

Data​‍​‌‍​‍‌​‍​‌‍​‍‌ from UK Finance reveals that the typical loss per case of APP in the first six months of 2025 was:

£2,325 per case

On the other hand, the area of fraud is such that losses are to a great extent different from one type of scam to ​‍​‌‍​‍‌​‍​‌‍​‍‌another.

Investment Scams Cause the Highest Losses

Investment​‍​‌‍​‍‌​‍​‌‍​‍‌ scams cause the highest amount of financial damage of all APP fraudulent activities.

Average loss by fraud type:

• Purchase scams: £661

• Investment scams: £15,098

As a result of these outrageous promises, investors are likely to be entrapped by fraudulent crypto schemes, share offerings, or overseas investments, as these areas promise rapid, massive returns for a small amount of money. Although there are fewer investment scam cases, the investment scams generally involve large amounts of money, in which the losses per victim are, therefore, greatly ​‍​‌‍​‍‌​‍​‌‍​‍‌increased.

Why Investment Scams Are Driving the Increase?

Investment scams play a significant role in the rise of overall APP fraud losses because:

• Victims are persuaded to transfer large amounts.

• Scams often appear professional and credible.

• Fraudsters exploit trust and financial aspirations.

• Even a slight increase in such cases can sharply raise total losses.

Positive Sign: More Money Returned to Victims

Despite​‍​‌‍​‍‌​‍​‌‍​‍‌ the losses that are increasing, we still have some good news to announce:

• The number of fraud cases involving the APP has declined.

• The amount of money being returned to the victims is higher than it used to be

This is the result of improved cooperation among banks, strengthened fraud-prevention measures, and enhanced reimbursement procedures.

What This Means for Consumers?

The​‍​‌‍​‍‌​‍​‌‍​‍‌ data sends a very clear message:

• A lower number of scams does not necessarily mean that losses will be lower

• Just a few high-value frauds can be the reason of a huge financial harm

• Consumers have to be particularly careful when receiving investment offers

Conclusion

Although there has been some progress in efforts to reduce the incidence of APP fraud, investment scams remain the gravest threat. These scams are the main reason why the overall fraud losses are going up, as they have average losses of more than £15,000 per case.

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Written by [Ketan Borada / British Portal Team] – Founder of British Portal, dedicated to providing accurate and up-to-date information on UK public services and benefits.