UK business leaders have warned that rising levels of crime are becoming a “serious barrier” to the growth of Britain’s economy. The trend is driven by an increase in shoplifting, fraud, and sophisticated cyber-attacks targeting companies of all sizes.
The British Chambers of Commerce (BCC), representing tens of thousands of businesses, reports that two-fifths of companies experienced some form of crime in the past year. The organization is now calling on the government to provide a “step change in the support businesses can count on.”
The Scale of the Threat
In a survey of 1,411 firms, the BCC found that a fifth of companies had been targeted by scams or fraud. 21% of those surveyed reported experiencing cyber-attacks.
Ellis Shelton, a policy manager at the BCC, stated that crime against business is now a “serious barrier to growth and investment across the UK.” He noted that bosses are being forced to divert essential time and money to address this “anchor on growth.”
High-Profile Hits and Sector Impact
Recent high-profile cyber-attacks have targeted major brands, including the Co-op, Booking.com, Jaguar Land Rover, and Marks & Spencer. M&S reported a £324m hit to profits after a damaging hack forced the company to close its website to orders for more than six weeks.
The impact varies significantly by industry and company size. The manufacturing sector reported being the hardest hit, with 50% of companies reporting business crime.
Retailers are also struggling with a surge in thefts. Police-recorded shoplifting rose 20% year on year to 516,971 offences in the year ending December 2024, with the annual total exceeding 530,000 by March 2025.
Proposed Solutions and Future Outlook
To remove these “structural barriers to growth,” the BCC has urged the government to implement several strategic measures. These include the creation of a dedicated cyber-attack reporting system for companies and the establishment of regional business crime hubs to link police with business crime reduction partnerships.
The organization also recommends expanding fraud and cyber resilience support specifically for compact and medium-sized businesses, alongside providing more incentives for companies to invest in their own security.
If these measures are not adopted, businesses may continue to divert crucial resources away from investment and toward crime mitigation. However, a coordinated response between the government and police could potentially reduce the frequency of these attacks and stabilize the investment climate.
Frequently Asked Questions
Which business sector is most affected by crime?
The manufacturing sector reported being the hardest hit, with 50% of its companies reporting business crime.
How does the size of a company affect its vulnerability to crime?
According to a BCC survey, vulnerability increases with company size, rising from 32% among microbusinesses to 58% among firms employing more than 250 people.
What specific government actions is the BCC requesting?
The BCC is calling for a cyber-attack reporting system, the creation of regional business crime hubs, expanded resilience support for small and medium-sized businesses, and more incentives for security investment.
Do you believe the government should provide financial incentives for businesses to upgrade their security systems?
