Fraud Attacks Are Escalating Faster Than Business Defences, Reveals New Experian Report

EMEA & APAC - 24 February 2026

Businesses are facing an unprecedented and rapidly evolving threat from fraud, with nearly two-thirds (64%) reporting a surge in losses over the past year, according to new research commissioned by Experian, a global leader in data and technology. The study, conducted by Forrester Consulting, reveals a critical defence gap: as cybercrime networks expand and leverage Generative AI, 68% of business leaders admit their current security tools are no longer adequate to protect them.

Key Findings

• Fraud losses surge: 64% report year-on-year increase
• Threat outlook: 67% expect more attacks in 2026 than last year
• Tech gap: 68% say their current fraud tech can’t keep pace with threats.
• Passive checks gain traction: 73% plan to invest in device & behavioural data
• Collaboration on the rise: 74% expect majority of businesses to be part of shared fraud networks within 3 years

The study, based on insights from almost a thousand senior fraud decision-makers across nine countries in EMEA and APAC, including Australia, Denmark, Germany, India, Italy, New Zealand, Norway, South Africa, and Spain; reveals a growing gap in fraud prevention capabilities. Sector-specific trends show social engineering and identity theft rising in Financial Services and Telcos, while friendly fraud and refund abuse are increasing in eCommerce.

Technology gaps slow response

The research highlights how traditional approaches are falling behind. Nearly 68% admit their current fraud stack is inadequate, and the urgency to modernise is clear. The traditional ‘build-vs-buy’ dilemma is slowing progress, as businesses need solutions now, not months or years later. In fact, 71% are investing more in fraud technology than in human analysts, signalling that manual reviews and rules-based systems can no longer keep up.

Modernisation and machine learning take centre stage

Seven in ten respondents cite strategic reviews of fraud solutions as their top priority for the year ahead, followed by migrating systems to the cloud and investing in new tools. Additional datasets - such as device and behavioural data - are now essential for accurate fraud detection. Making sense of these large datasets requires machine learning, and the benefits are clear: 67% of ML users report measurable improvements in detection accuracy since implementation.

The biggest advantage of ML is real-time detection, cited by 54% of respondents, along with the ability to retrain models on new data to keep pace with evolving fraud tactics. 70% agree ML helps detect fraud that rules-only systems would miss, proving its role as a critical enabler of modern fraud prevention.

Collaboration is the future of fraud prevention

Nearly 73% of businesses agree that sharing fraud intelligence is key to staying ahead of threats. However, this requires trust and secure infrastructure. Three-quarters of respondents believe that building trust within fraud consortiums is essential for success. Experian is enabling this collaboration through centrally managed hubs with API connections, allowing data to be shared across networks while complying with regulations.

“Fraud was never a static challenge, it’s constantly evolving,” says Shail Deep, COO, Experian EMEA & APAC. “Generative AI is giving criminals unprecedented speed and sophistication. Businesses must modernise their fraud strategies now. Today, 71% of businesses are investing more in fraud technology than in human analysts, a clear signal that manual reviews and rules-based systems can no longer keep up. Device intelligence, behavioural analytics, and machine learning are becoming essential. Collaboration and innovation are no longer optional; they are the foundation of resilience in 2026 and beyond.”

Explore the full findings and sector-specific insights in our comprehensive report here.

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Methodology

Experian’s report is based on a survey of 979 senior fraud decision-makers in Financial Services, Telcos and eCommerce across nine countries: Australia, Denmark, Germany, India, Italy, New Zealand, Norway, South Africa and Spain. The research was conducted by Forrester Consulting in July 2025 to understand the big trends impacting fraud prevention.

About Experian

Experian is a global data and technology company, powering opportunities for people and businesses around the world. We help to redefine lending practices, uncover and prevent fraud, simplify healthcare, deliver digital marketing solutions, and gain deeper insights into the automotive market, all using our unique combination of data, analytics and software. We also assist millions of people to realise their financial goals and help them to save time and money.

We operate across a range of markets, from financial services to healthcare, automotive, agrifinance, insurance, and many more industry segments.

We invest in talented people and new advanced technologies to unlock the power of data and to innovate. A FTSE 100 Index company listed on the London Stock Exchange (EXPN), we have a team of 25,200 people across 33 countries. Our corporate headquarters are in Dublin, Ireland. Learn more at experianplc.com.