- The Financial Conduct Authority (FCA) has found that banks sometimes miss opportunities to prevent romance scams, despite some examples of significant support for vulnerable customers.
- Over £106 million was reported lost to romance fraud in the UK during the 2024/25 financial year, representing a 9 per cent annual increase, with victims losing an average of £11,222 each.
- The majority of these scams (85 per cent) originate online, particularly through social media and dating websites, underscoring the crucial role platforms have in fraud prevention.
- The FCA's review highlighted extreme cases, including one victim who made 403 payments over a year, losing more than £72,000, and others coerced into obtaining funds from various sources.
- The regulator recommends banks improve detection and monitoring systems, enhance staff training to identify red flags and provide compassionate aftercare, acknowledging the challenge of intervening when victims are reluctant to accept they are being defrauded.
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