Preventing Authorised Push Payment (APP) scams is one of the Payment Systems Regulator’s (PSR) top priorities. A new report from PSR shows how fraudsters exploit major platforms to scam consumers.

APP scams happen when victims are tricked into sending money to fraudsters posing as legitimate payees. These scams don’t just cause financial losses; they cause emotional harm to consumers, undermine trust in platforms, and damage confidence in UK payments and the economy. 

The PSR’s data shows that in 2023 alone, APP scams cost UK consumers £341 million. Victims report losing trust not only in banks but also in the platforms fraudsters use to contact them - 41% of victims said their trust in social media companies had been shaken, four times as many as those who lost trust in traditional banks. 

In October 2024, the PSR introduced new reimbursement rules, ensuring a world-leading level of protection for UK consumers. These measures not only help victims recover their money but also encourage banks to take action to stop fraud before it happens. However, preventing scams is not just the responsibility of banks - every sector has a role to play. Social media, telecoms, online marketplaces and other platforms must also understand how fraudsters reach victims and take steps to stop them. That’s exactly what today’s report highlights. The PSR considers that sharing data and working together across sectors is key to stopping fraudsters.

Today, the PSR is calling on technology, telecoms, and social media platforms to work with payment firms to close down vulnerabilities that fraudsters exploit.  

Kate Fitzgerald, the PSR’s Head of Policy, said:  

“Our report highlights how major platforms are being exploited by fraudsters to deceive victims, often with devastating effects. By publishing this data, we want to drive real change across industries, tackling the root causes of APP scams. Preventing scams before they happen is the best way to protect consumers and reduce harm.” 

What the report reveals 

This year, the PSR used its powers to gather data from 14 of the largest banking groups in Great Britain and Northern Ireland. The report identifies which platforms fraudsters most commonly exploit across different APP scam types, including romance, purchase, and investment scams for example.