New research from emerchantpay, a global payment service provider and acquirer, has found that 72% of UK adults report fraud and scam attempts are more convincing than they used to be, with 56% believing AI is making fraud and scams harder to identify.
The research, published on 1 April 2026, surveyed UK consumers on their experiences and attitudes towards financial fraud. Half of all UK adults report an increase in financial scams over the past year, with Generation Z consumers most affected, 57% of that age group report rising scam attempts. Separate findings from Citizens Advice, cited in the report, identify online shopping as the most common context in which consumers are deceived, with 26% of those targeted by fraudsters in the past 12 months having been approached while shopping online.
Behavioural impact and stigma barriers
The increase in fraud attempts has changed consumer behaviour in measurable ways. Three-quarters of UK adults say they avoid making purchases from links shared on social media due to fear of scams, a shift with implications for social commerce and digital advertising conversion.
Furthermore, stigma around fraud victimisation remains a significant barrier to reporting. 6 in ten UK adults say they would feel embarrassed if they fell victim to fraud, and 39% are concerned about being judged if they lost money. Approximately 9 million UK adults, 17% of the adult population, say they would not report losing less than GBP 100 to a scam, potentially leaving a substantial volume of low-value fraud unreported and untracked.
Commenting on the findings, Alexander Berrai, Deputy CEO at emerchantpay, said AI has significantly lowered the barrier for fraudsters to launch sophisticated scams at scale, and that consumer protection frameworks need to evolve at the same pace as the fraud landscape. He added that the responsibility cannot sit with consumers alone, and that collaboration across retailers, banks, payment providers, and social media platforms is essential, alongside embedding effective fraud prevention directly into the transaction flow.
