August 11, 2016
Card-not-present fraud drove an 18-percent increase in overall card fraud in the U.K. in 2015—the biggest jump in Europe from the year before, according to a new report. An interactive map of European card fraud developed by research firm Euromonitor and intelligence and analytics company FICO showed the European markets most affected by card fraud in 2015. CNP fraud, according to the research, is the dominant form of fraud in Europe and accounts for the most card fraud losses in several European countries in addition to the U.K., including Germany, Italy, Sweden, Norway and Turkey. In the U.K., overall card fraud accounted for an additional £88.5 million ($115 million) in losses in 2015 compared to 2014, 75 percent of which came from card-not-present attacks.
“This isn’t surprising, as Europe pushed criminals towards CNP with the rollout and success of chip & PIN at point-of-sale,” said Martin Warwick, fraud consultant for FICO. “The digital revolution also fueled this migration, creating an online funds kitty that is just too tempting for criminals. When executive dashboards in either retailers or card issuers start flashing red in terms of unacceptable fraud losses, change will have to take place.”