Understanding and addressing fraud against children and young people: An action plan

anoushakarim
Apr 24
5 min read

Updated: 4 days ago

Insights Report

Thursday 24 April

In partnership with the City of London Police, who were commissioned by the Police STAR Fund, Crest undertook research to understand the scale, nature and impact of fraud victimisation of children and young people (CYP). This is the first comprehensive study of online fraud victimisation among CYP in England and Wales and our evidence-based action plan is intended to improve the response to fraud.

To conduct this research we took a mixed methods approach, triangulating qualitative and quantitative analysis to develop our understanding of CYP fraud victimisation. Our findings are based on:

Interviews with over 50 CYP aged 11-21 years old in England
Engagement with fraud experts from financial institutions, banks, technology companies, voluntary organisations (VCS) and police in England and Wales
Two nationally representative surveys with (a) CYP aged 13-21 and (b) parents/ guardians with CYP aged 10-21, both in England and Wales
Quantitative analysis of National Fraud Intelligence Bureau (NFIB) data on fraud reports involving victims aged 10-21 in England and Wales from the calendar year 2023

A key element of this research was co-design with relevant stakeholders. This included holding two separate co-design sessions with fraud experts and CYP to design and test the survey questions. In addition, we co-designed the action plan and recommendations with CYP, fraud experts, and parents and guardians. CYP participated in interactive 1:1 and group (based on personal preference) co-design sessions, parents and guardians joined 1:1 co-design sessions and fraud experts joined together in a co-design webinar.

Our Key Findings

Scale and nature of fraud against children and young people

Most CYP have been targeted by fraudsters within the last year. According to our survey, 88% of CYP aged 13-21 had been targeted by fraud in the last year. Only 1% of children and young people (CYP) have never encountered fraud.
Nearly a third (29%) of CYP have been a victim of fraud. Some CYP are more likely to experience fraud victimisation, including older CYP (aged 18-21) and CYP with Special Educational Needs and Disabilities (SEND).
Figure 1: Proportion of CYP who have experienced fraud victimisation in the last year, compared to CYP who have not experienced fraud victimisation in the last year or are unsure
Milestones where CYP gained new or increased financial independence coincided with fraud victimisation. For example, some of our interviewees experienced fraud after opening their first bank account or getting their first job. There was also evidence of victimisation after CYP received a lump sum of money e.g. the 16 to 19 Bursary Fund.
The most commonly experienced types of fraud by CYP are advance fee fraud, banking and credit fraud, financial investment fraud, cyber fraud, and identity theft and fraud. Available data suggests that, on average, CYP lose the most money from financial investment fraud.
Advance fee fraud is the most commonly recorded fraud against CYP, it accounted for the majority of CYP reports to professionals and was commonly experienced CYP interview participants
CYP are more likely to experience fraud on certain online platforms. These were Instagram, Facebook and TikTok. Interestingly, these platforms are not where they spend most of their time.
Figure 2: Comparison of the platforms most commonly used by CYP and the platforms where CYP fraud victimisation most commonly occurs

Children and young people reporting fraud

Nearly two-thirds of CYP told someone about their experience of fraud. The most common person to tell was a parent/guardian, with over half (59%) of survey respondents telling their parents/guardian about their experience. Reporting the fraud to the bank (35%) and Action Fraud (22%) was less common.
The most common barrier to reporting fraud was due to feeling that nothing would happen, with 27% stating this reason.

One CYP who reported their fraud victimisation to the bank explained that the response was not tailored to CYP.

Impact of fraud on children and young people

CYP reported significant emotional impact as a result of fraud victimisation. Almost half (47%) of survey respondents reported feeling strong emotions such as anger, sadness, fear, frustration as a result of their victimisation; and over a quarter (27%) of survey respondents stated that being a victim of fraud impacted their mental health.
Fraud victimisation leads to CYP changing their behaviour. Changing internet use and online activity was a common impact of fraud victimisation amongst CYP, this ranged from being more cautious online with emails, websites and privacy settings to stopping a particular online activity altogether, such as online shopping or online banking.

Superintendent Amanda Wolf, of the City of London Police said:

"We welcome this independent report which offers a deeper insight into young people’s experiences with fraud—and the findings are clear: urgent action is needed. We must do more to support young people and raise awareness, so they feel confident in recognising and reporting when they may be victims of fraud.

“The report reveals a concerning reality: 88 per cent of individuals aged 13 to 21 were targeted by fraud in the last year. These statistics highlight how common fraudulent approaches have become for this age group despite us also knowing that fraud is significantly under-reported, especially among children and young people. In a world increasingly lived online and shaped by digital interactions, fraud criminals are exploiting the personal information young people comfortably and readily share online.

“As the national lead for fraud, we are constantly seeking ways to identify emerging threats, helping us to better protect people whilst disrupting criminals and improving our investigative capabilities. This report reflects our commitment to working with partners to better understand the evolving tactics of fraud criminals and to highlight the work that is needed to develop more effective protection and awareness amongst our young people.

“This report will serve as a foundation for our continued efforts to educate, raise awareness, and ultimately protect children and young people from fraud. Our commitment is clear, working with partners across sectors to prevent fraud. Protecting young people is essential to bring perpetrators to justice, and safeguard the next generation from these crimes.”

Conclusion

In summary, fraud has become a near universal part of CYP’s everyday life. This directly challenges preconceived notions that online fraud happens to ‘other people’, namely the elderly, ‘naive’ or less technologically advanced. This narrative often contributes to CYP blaming themselves for ‘falling for fraud’ rather than understanding themselves as a victim of crime.

We have used our findings to develop an Action Plan (see full report) which aims to minimise harm to CYP from fraud through education, protections and safeguards, a system response tailored to CYP, and an improved evidence base. This could support the Department for Education’s (DfE) guidance around promoting online safety and, in turn, equip CYP with the tools and understanding to navigate extensive exposure to fraud over their life.

While the Government has committed to a new fraud strategy and acknowledged the role of technology companies and police in tackling this, our action plan highlights the need for a wider partnership response - including banks, schools and support services - to tackle fraud and keep CYP safe online.