The Federation of Small Businesses released a report that shows over 50% of small businesses fell prey to fraud or cyber crime within the last 12 months. The report also revealed that 37% encountered phishing emails, 15% were victims to card-not-present fraud and 15% were attacked by viruses and hackers’ break-in.

But what is notable with the report is that 1/3 of businesses do not report fraud or online crime to the police or banks on the grounds that they ‘believe that it would not achieve anything'. Over half of the polled said they would like to know more about how and where to report these types of crime with 44% stated they want a specifically named contact in their local police force responsible for tackling fraud and online crime.

85% expressed their interest in creating a special reporting center in England and Scotland so that they would be able to report incidents to this body. The report shows that fraud with a financial impact cost small businesses between £500 and £5,000, while the average cost across the sector is £768 a year.

Mike Cherry, home affairs chairman at the Federation of Small Businesses, said: “Fraud and online crime is on the rise and is a growing concern for small businesses particularly in the current economic climate. In volume terms, instances of low level crime against a business such as vandalism or criminal damage are more frequent, however, the issue with fraud and online crime is that one event can be highly disruptive and even force a business to close.”