Parliamentary Initiative: Strengthening the UK’s Response to Investment and Pension Fraud – A National Call to Action

The All-Party Parliamentary Group (APPG) on Investment Fraud & Fairer Financial Services, through its Investment Fraud Committee, is proud to announce the launch of a groundbreaking research initiative aimed at addressing one of the most pressing and growing threats in the UK today: investment and pension fraud.

This project marks a pivotal moment in the APPG’s ongoing mission to bring much-needed political focus, rigorous scrutiny, and reform to an area of fraud that inflicts devastating personal and societal harm but has been largely overlooked by current policy frameworks and enforcement efforts.

In collaboration with the Social Market Foundation (SMF) and Mishcon de Reya LLP, leading experts in public policy and legal practice, this research aims to lay the groundwork for a more effective and coherent UK response to investment fraud – a category of crime that leaves victims financially and emotionally ruined yet often falls between the gaps of existing law enforcement efforts.

Why This Project Matters

While volume fraud targeting large-numbers of consumers and complex corporate fraud cases are well-documented and tackled by agencies such as the Serious Fraud Office (SFO), the mid-tier frauds — where most investment and pension scams occur — are often neglected, despite their devastating effects on individuals and families.

This includes:

* One-off, high-impact scams that deplete life savings and pensions.

* "Financial Grooming" of victims over months or even years by unscrupulous advisers.

* Emerging threats, such as crypto-asset fraud, AI-driven scams, and green investment schemes.

The result? Victims face not only financial devastation but often experience the denial of justice, while perpetrators frequently operate with relative impunity, exploiting regulatory blind spots and inaction from the authorities.

Aims of the Project

The overarching goal of this project is to improve the UK’s law enforcement and regulatory response to investment and pension fraud. Specifically, the project seeks to:

1. Elevate Mid-Tier Fraud to a National Priority: Place investment fraud on the political agenda as a serious national issue requiring urgent attention and effective action.

2. Enhance Prevention Efforts: Identify early warning signs and systemic risks, improving the UK’s ability to prevent fraud from occurring in the first place.

3. Strengthen Enforcement and Prosecution: Ensure that law enforcement agencies and regulators have the tools and support necessary to identify, investigate, and prosecute fraudsters effectively.

4. Provide Meaningful Support to Victims: Improve victim support systems and restitution mechanisms to reduce the long-term financial and psychological impacts on individuals affected by fraud.

Internationally Informed, Evidence-Led Approach

As part of our efforts, we will draw upon international best practices from countries that have successfully strengthened their responses to fraud. These include:

* The United States, particularly in the aftermath of the Bernie Madoff scandal, where reforms have resulted in a far more robust approach to investment fraud.

* Australia and South Africa, where integrated fraud enforcement systems offer valuable lessons for the UK.

This research also aims to create an Investment Fraud Maturity Framework, a tool that will benchmark how different jurisdictions approach prevention, enforcement, and victim support. The framework will help set the agenda for reform in the UK and establish a pathway to becoming a global leader in the fight against fraud.

Led by Parliamentarians, Supported by Experts

This landmark project is spearheaded by the Investment Fraud Committee of the APPG on Investment Fraud & Fairer Financial Services, and supported by:

* Social Market Foundation (SMF): A renowned think tank, providing crucial policy research, analysis, and drafting expertise.

* Mishcon de Reya LLP: A leading law firm with deep expertise in economic crime and complex fraud litigation. Mishcon de Reya will provide legal insight, connect the team with international experts, and help shape the project’s strategic direction.

Together, we are united in our commitment to deliver actionable, evidence-based recommendations to tackle investment fraud in the UK.

Call for Expert Input and Victim Testimonies

We are seeking contributions from two key groups to inform this vital research:

1. Fraud Experts and International Practitioners

We invite participation from:

* Law enforcement and regulatory officials

* Legal professionals with expertise in fraud

* Academics, economists, and policy experts

* Financial services and fintech professionals with insights into emerging fraud risks.

Opportunities include:

* Virtual expert roundtables

* In-depth interviews with UK and international fraud professionals

* Membership on our advisory panel

2. Victims of Investment or Pension Fraud

We will be holding Evidence Sessions to hear directly from victims of investment and pension scams. Their testimonies will play a critical role in shaping our final recommendations.

All evidence will be treated with the utmost sensitivity and confidentiality, ensuring that those affected have a meaningful opportunity to influence the future of fraud prevention and victim support in the UK.

Outputs and Timeline

May 2024 – Project Launch at Parliament

TBC 2024 – Victim & Expert Evidence Sessions

Policy Report – A 5,000–7,000 word joint publication by the APPG and SMF, outlining evidence-based recommendations for the UK Government, regulators, and enforcement agencies.

Parliamentary Launch and Public Engagement

Our findings will be formally launched at a prestigious Parliamentary event, where we will seek to bring together:

* Senior parliamentarians from all political parties

* Government ministers and shadow ministers

* Representatives from law enforcement agencies

* Key regulators in the financial services sector

* Fraud and legal experts

Following the launch, we will engage with ministers and select committees, publicise the findings through national and international media channels, and encourage parliamentary debate and policy adoption.

Acknowledgement and Involvement

Everyone who contributes to this project, whether through providing evidence, participating in interviews, or joining the advisory panel, will be formally acknowledged in the final report (unless anonymity is requested).

Contact Us

To participate in this transformative initiative, or to submit evidence or express interest in joining the advisory panel, please contact:

Carly Barnes-Short

Co-Chair – The Investment Fraud Committee

Via our contact page. 

Be Part of a Parliamentary Effort to Transform the UK’s Fight Against Fraud

This initiative is more than just a research project — it is a cross-party endeavour to reclaim trust, protect savers, and strengthen the UK’s fight against economic crime.