Vertical Markets

Retail crime survey

by Mark Rowe

Violence and abuse against shop staff is on the rise, according to the latest annual Retail Crime Survey by the trade association the British Retail Consortium (BRC). In 2015-16, there were 51 incidents of violence and abuse reported per 1000 staff, up from 41 the previous year. The report complains of an inconsistent police response, and ‘a growing sense that offenders are able to act with impunity’.

Half of respondents cited cyber-attacks as one of the most significant future threats, in contrast to 14pc the year before. Again, police response to cyber-crime is felt to be inconsistent, and mixed – some police forces better than others. Few of those replying to the survey felt that the service provided by the official Action Fraud reporting mechanism was good; a majority felt it was poor, or very poor. The report queries whether Action Fraud (the national central point for fraud cases for about four years) is, or ever could be, ‘fit for purpose’.

Customer theft remains the most common type of crime, 75pc by number of incidents, and 66pc by value of the total crime against UK retail (£438m). The BRC puts the continued rise in retail theft down to the capacity (or rather lack of it) of the UK police service to respond to this crime and the impact of international organised crime. See also page 64 of the February 2017 print issue of Professional Security magazine, for findings from West Midlands Police.)

The trade body says that their findings reveal that ever more sophisticated forms of crime are being perpetrated against retailers and their customers. Examples of cyber-enabled crimes being committed include phishing, theft of consumer data, doxing and social engineering, as well as a host of other increasingly elaborate scams. The BRC plans to publish a new ‘Cyber Security Toolkit for Retailers’ in March 2017. The survey found ‘notable rises since last year in cyber-related criminality at the hands of employees, suppliers, contractors or others with inside access’.

The BRC says that its report highlights concerns among retailers that existing deterrence is not effective enough, and a growing sense among those working in the retail industry that offenders are able to act with impunity. The overall number of retail crimes committed has risen to 3.6 million, with the direct financial cost of crime to the retail industry reaching £660m in 2015-16.

Helen Dickinson OBE, pictured, Chief Executive of the BRC, said: “These figures reflect a deeply concerning trend. Attacks on retail workers are intolerable, as are attempts to defraud customers. A significant aspect of the cyber security challenge for retailers is the attractiveness of customer data from the point of view of criminals, many of whom operate outside UK borders but can nevertheless gain relatively easy access to UK digital networks.

“Retailers are doing everything possible to ensure that staff members and customers are safe and protected. But this rising tide should be stemmed through even stronger cooperation between industry, the government, law enforcement and the private security industry. There is work to do to further improve collaboration between the UK retail industry and its partners, and raise standards of security and policing of these threats across the country.”

It’s not all bad news; most, 79pc of retail businesses felt that their ability to recruit staff with cyber security expertise is manageable. The BRC says that it and its members look forward to working with the National Police Chiefs’ Council (NPCC) and other partners with the newly-created National Business Crime Reduction Hub.

About the survey

For the full 18-page survey by Hugo Rosemont visit the BRC website. It’s overseen by the BRC Heads of Security Member Group. The BRC also has a Fraud and Cyber Security Member Group.

Comment

Simon Chapman, Managing director, Lodge Service, says: “Clearly the standard approach of the security sector to retail crime is not working – with crime rising to record levels, and the direct financial cost suffered by the industry at £660m. The BRC report highlights the rise of cybercrime, but customer theft remains the most common type of crime, accounting for 75pc by incidents and 66pc of the direct cost, at £438m. CCTV, tagging, guarding and other measures – in the way they are used conventionally are not working. A strategy based on intelligence data and focused deployment: this is the only proven way to counter the increasing professionalism and specialisation of criminals, wherever this occurs in the supply chain. This includes dealing with the rise in malicious insider incidents, which some 29pc of retailers report are rising.

“It is totally unacceptable that retail staff continue to suffer high levels of violence and abuse, which rose by 40pc. Last year there were 51 incidents of violence and abuse per 1000 staff – up from 41 last year. The data and technology is available to target and tackle this problem, together with the training that staff need to avoid or diffuse situations of potential violence and danger. This has been an area of disinvestment by many retailers – when a targeted approach can reap dividends, at no extra cost.”

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