The value of alleged fraud cases reaching U.K. courts totaled more than £1.1 billion ($1.36 billion) in 2016 as the increasing risk of cyber attacks and large-scale scams continue to threaten businesses, according to a report from accountancy giant KPMG.
A 55 percent year-on-year rise in the value of fraud from the previous year was largely due to a resurgence in so-called super cases, or incidents worth over £50 million. Though the cost of fraud in the U.K. was much higher than in previous years, the number of incidents was lower.
"The figures for 2016 tell us two things. Firstly, that we can expect more of these super frauds as challenging economic circumstances place pressures on businesses and individuals and as technology becomes more sophisticated. Secondly, that this is going to put even more strain on law enforcement agencies who don't have the resources to investigate every report of fraud that they receive: getting the large, often cross-border and complex frauds to court is extremely time consuming and resource intensive," Hitesh Patel, U.K. forensic partner at KPMG, said in a note.
KPMG found that £900 million of fraud stemmed from just seven super cases. In 2015, super cases amounted to £250 million and the U.K. based accounting firm argued the rapid increase of super cases in recent years may be reflective of fraud being a lucrative and practical proposition for those with sufficient technological abilities.