Scam warnings issued to property and construction sectors

Barclays bank is issuing a warning after new data reveals scams targeting businesses increased by almost a third (31 per cent) in January and February compared with last year.

The warning is directed at all businesses, but particularly the 33,345 property and construction companies based in the West Midlands.

And ex-footballer Dion Dublin (pictured) has partnered with Barclays to help raise awareness.

Nationally, the data reveals that small and medium enterprises (SMEs) in this sector made up almost a quarter of all business scams last year (24 per cent).

On average, each scam cost property and construction SMEs a staggering £4,110.

The most commonly used tactic to target businesses in 2020 were impersonation scams (44 per cent), with figures more than doubling in the second half of the year when compared with the first half (62 per cent).

Impersonation scams are when fraudsters pretend to be organisations or authorities in the hope that they 'll trick their victims into sharing personal or banking information - or to even transfer money out of their account.

John Heaver, Barclays head of business banking fraud, said: “Property and construction businesses often display their company details outside or near construction projects they 're working on, making it easier for fraudsters to research and target their scam.

“SMEs should consider having checks in place to confirm the legitimacy of any new suppliers, or even unexpected changes to existing suppliers, during a job.

“It 's incredibly important that business owners and their staff are aware of the different type of scams that can occur and remain vigilant at all times.

“The vast majority of scams could be prevented by taking simple steps such as double checking payment details with a source you know is genuine.

“I 'd encourage SMEs to talk about preventing fraud with their staff, suppliers and clients, however if they are ever in doubt, they should contact their bank for more advice. ”

To raise awareness of the growing dangers of fraud and scams, and the sophisticated tactics criminals are using to defraud businesses, Barclays has partnered with ex-Aston Villa and Coventry City striker and TV presenter, Dion Dublin.

Outside of presenting, Dion 's time is spent running his electrical company, Scott Dublin, which has been targeted by scams before.

He added: “I 've experienced fraudulent activity before, with criminals first trying to take £400 and then £1,600 out of my business account. Offenders know small business owners are time-poor and take advantage of busy schedules to see if they can get away with scamming people.

“My wife, who is my business partner, spotted the suspicious account activity labelled as tech services and got in touch with the bank right away. We 're now in a routine of checking daily to ensure no one is trying to get hold of our money. Building a good defence against fraudsters requires solid organisation and communication, plus I like to think my football background means I 'm able to spot a bad transfer when I see one! ”

Last year, Barclays prevented hundreds of millions of pounds of fraud and scams, and the bank continues to ramp up its mission to educate their customers on the rising threat.

Weekly cyber security awareness webinars are available for all UK businesses, and were attended by 1,200 SMEs last year.