E-crime costs retailers £205m, BRC data shows

Category: Data recovery

23 August, 2012

E-crime costs retailers in the UK at least £205.4 million in 2011-12, according to figures from the British Retail Consortium (BRC).

Fraud losses and costs associated with preventative measures such as data recovery plans were also factored into this total.

The BRC data indicates that e-crime is twice as costly as overall retail crime, representing a 0.75 per cent proportion of online retail sales for 2011. By comparison, retail crime as a whole represents just 0.36 per cent of all retail sales.

Worryingly, the organisation found that the majority of retailers do not have an official response plan for e-crime.

BRC director general Stephen Robertson explained that the growth of the e-commerce sector is offering new opportunities for criminals.

He believes the government needs to work more closely with stakeholders to develop a centralised method for reporting e-crime.

"Retailers are investing significantly to protect customers and reduce the costs of e-crime but lawmakers and enforcers need to show a similarly strong commitment," he explained.

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Posted by Edward Clark