One in five adults in the UK claim to have been a victim of financial fraud, with Generation X most likely to have handed over cash to a scammer, Paragon Bank research has found.

Paragon’s survey of over 1,500 adults found that 19% had been a victim of financial fraud. This rose to 30% for those aged between 45 and 54 and 22% for 55 to 64-year-olds. Those aged 85 or over were least likely to have fallen victim to fraud (14%), although this group were most likely to prefer not to say (9%). Meanwhile, 21% of 35-44-year-olds have fallen victim to financial fraud and 15% of those in the 25-34 age category.

Of those defrauded out of money by scammers, 81% lost less than £25,000. More positively, the same proportion, 81%, was able to recover all the lost funds, with a further 7% able to partially recover some of the lost money. One in 10, however, couldn’t recover any funds, with 2% not trying to recover money.

The Paragon research also highlighted the diverse tactics employed by fraudsters across various demographics, with Gen Z emerging as a target group. Over half (53%) of people in this demographic, covering 18–24-year-olds, had received contact from impersonators claiming to represent mobile phone providers. They were also the most common age group to be contacted by a fraudster impersonating a TV provider, at 32%.

Additionally, a rise in scams impersonating broadband providers was observed among Baby Boomers aged 65-74, with 49% targeted by this attempted fraud. Millennials aged 25-34 were the highest amongst those who advised they were contacted by police impersonators at 13%.

Meta-owned apps provide scale and so appear to be favoured social media platforms for fraudsters to make contact. Facebook is the top app for fraudulent communication, with 75% of participants acknowledging encounters with fraudsters, and 31% reporting attempts via Instagram. Moreover, Gen Z remains the most targeted age group for attempted fraud via social media, with 35% receiving direct messages on their social media profiles.

Derek Sprawling, Paragon Bank Savings Director, said: “Fraudsters are becoming increasingly sophisticated in how they target individuals, so whilst people are generally more aware of scams, new techniques are being developed all the time. Therefore, it’s important that people remain vigilant.”

He added: “Paragon Bank will never contact you via email, post or phone asking for your online security details. When you call us, we will run through our security checks as standard and when you visit our website you can be confident that we comply with the privacy standards followed by all major British financial institutions.”

For further information contact:

Michael Clarke
Head of Media Relations
Paragon Bank
07740090746
[email protected]

Notes to editors:

Paragon surveyed 1,750 savers between 3 and 13 July 2023.

Paragon Bank PLC is a subsidiary of the Paragon Banking Group PLC which is a FTSE 250 company based in Solihull in the West Midlands. Established in 1985, Paragon Banking Group PLC has over £14 billion of assets under management, helping more than 340,000 customers to achieve their ambitions.

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551.

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