New research highlights increase in scams, counterfeit goods unsafe products and food fraud
New research published by Trading Standards suggests that issues related to the cost-of-living crisis are at record levels and set to trigger unprecedented demand and pressure on services in the future. Data for 2021/22 indicates there has been a surge in a range of practices that are harming consumers – including a trebling in the volume of counterfeit goods seized.
CTSI has discovered that three quarters of UK adults are feeling more vulnerable due to the cost-of-living crisis and nearly half have seen a rise in scams.
Data from the new Impacts and Outcomes Report 2021/22, from the Association of Chief Trading Standards Officers (ACTSO) highlights that the risks associated with the cost-of-living crisis are apparent across all work areas and are placing increasing demands on Trading Standards services. Highlights from the report include:
- More than half a billion pounds of consumer detriment (£548m) was prevented by Trading Standards across England and Wales
- There has been a significant increase in counterfeit goods, with Trading Standards seizing more than 4 million fake products with a market value of £111m – three times more than the previous year
- The removal of more than 4.2 million unsafe and non-compliant products including dangerous toys, lights and phone chargers
- A significant increase in the amount of illicit tobacco, with 14.9 million illicit cigarettes seized
- More than 7,000 businesses were found to have supplied food that was misdescribed, didn’t declare allergens or was adulterated with toxins
- Concerns that consumers are more at risk of being scammed, with 17,600 scam victims supported and approximately £47m saved by Local Authority Trading Standards in 2021/22.
The data for 2021/22 chimes with a new CTSI survey which highlights that across the UK, Local Authority Trading Standards teams have seen an increase in cost-of-living related demands, with around one quarter reporting both an increase in consumers who are vulnerable and in scams and rogue traders.
CTSI Chief Executive, John Herriman, said: “This latest research not only demonstrates the significant impact that Trading Standards makes to protect consumers and businesses, but it also suggests that our cost-of-living crisis is likely to exacerbate already high levels of detriment UK consumers are facing.
“The current economic situation is inevitably causing consumers and businesses to tighten their belts, but in consequence unscrupulous and rogue traders are exploiting this increased vulnerability. The data clearly shows not only the significant impact Trading Standards is making to address consumer detriment but also that the risks to consumers from scams, counterfeit and illicit goods, and false and misleading prices are on the rise.”
“It is imperative to the national economy that that we build and maintain consumer confidence, and this is very much dependent upon us having confidence in the integrity of businesses. By tackling unscrupulous practices whether that is preventing food fraud or removing counterfeit goods, Trading Standards is an absolutely vital component in underpinning confidence in businesses and from consumers, and ultimately helping the UK steer the choppy waters ahead.”
Steve Ruddy, Chair of ACTSO, said of the latest report: “Our latest Impact and Outcomes data shows the sheer scale of how much Trading Standards teams save consumers and businesses in tackling detriment, preventing harm, and providing advice and support.”
“It is clear that in this cost-of-living crisis, the risks to consumers from the safety of illicit and counterfeit goods, scams, false claims about prices, and energy efficiency are all growing. Trading Standards has a vital role to play in addressing all of these risks; demands are continuing to grow for what are already very stretched services.”