GSMA and UK Finance have partnered to create a collaborative framework that will enable the UK’s mobile network operators and banks to develop and implement Scam Signal, a new initiative aimed at combating Authorised Push Payment (APP) fraud in the UK.
Scam Signal is being launched with the participation of mobile network operators such as EE, Virgin Media O2, Three, Vodafone, and banks including NatWest. Utilizing GSMA’s Open Gateway API, Scam Signal aims to help banks better identify and prevent fraudulent bank transfers by leveraging real-time network data to detect links between phone calls and fraudulent transactions.
According to data from UK Finance, APP fraud losses amounted to £213.7 million in the first half of 2024. Notably, 35 percent of these losses were attributed to scams initiated through telecommunications, where criminals typically pose as legitimate organizations, such as banks, to deceive victims via SMS or phone calls.
The initial development of Scam Signal was led by Vodafone, which conducted a successful three-month pilot project that resulted in a 30 percent improvement in scam detection at a major UK bank.
Dianne Doodnath, Principal of Economic Crime at UK Finance, stated: “Partnering with GSMA has been crucial in engaging UK mobile network operators to support and analyze data for our financial services members. This collaboration has produced a strong solution that is set to make a significant impact by identifying criminal activity and enhancing fraud detection.”