£4.5m lost to investment fraud in Norfolk in 2024
People aged 55-64 suffered the greatest financial losses according to Action Fraud data
It's been revealed that £4.5 million was lost to investment fraud in Norfolk last year.
Data from Action Fraud reveals that people aged 35-44 were more likely to be targeted for investment fraud, while those aged 55-64 suffered the greatest financial losses.
Investment fraud happens when criminals approach people, often out of the blue, and persuade them to invest in schemes of products that are either worthless or entirely fake.
Fraudsters may claim to offer opportunities in foreign exchange, gold and other valuable metals, overseas time-shares, or cryptocurrency, promising unrealistically high returns.
In 2024, Action Fraud received 25,843 reports related to investment fraud, with victims collectively losing £649,062,146. There were 235 reports in Norfolk specifically, with vicitms losing £4,527,803 in total.
While the number of reports represents a 7% decrease compared to 2023, the total financial loss saw a 13 per cent increase highlighting that fewer but potentially larger scams were in operation.
Cryptocurrency continued to be the most common asset fraudsters claimed to be investing in, accounting for 66 per cent of all reports
What to look out for:
Being approached via social media: the use of social media platforms as an enabler was identified in 36 per cent of the reports, with WhatsApp being the most prevalent. If you are approached, out of the blue, by someone telling you they can make you guaranteed returns on an investment, then block the number and don’t respond.
Investment opportunities that mention cryptocurrency, trading or stocks and shares: cryptocurrency and trading (unspecified) alone made up 75 per cent of all commodity types mentioned in Action Fraud reports. These two categories hugely outweigh traditional investment in commodities like natural resources (oil and gas), energy, precious metals, alcohol and forex (foreign exchange) that were mentioned in fraud reports.
An advert which uses a well-known celebrity: over £10m was lost in 2024 to fraudsters who convinced victims to invest by using an influential identity like Martin Lewis, Elon Musk or Jeremy Clarkson. AI generated images and videos were produced which helped to promote the bogus investment schemes.
How to protect yourself from investment fraud:
Investment opportunities:don’t be rushed into making an investment. Remember, legitimate organisations will never pressure you into investing on the spot.
Seek advice first:before making significant financial decisions, speak with trusted friends or family members, or seek professional independent advice.
FCA register:use the Financial Conduct Authority’s (FCA) register to check if the company is regulated by the FCA. If you deal with a firm (or individual) that isn’t regulated, you may not be covered by the Financial Ombudsman Service (FOS) if things go wrong and you lose your money.