Half of small businesses have been hit by crime in last two years

Small businesses in England and Wales have suffered financial losses due to both traditional and cyber crimes, including organised shoplifting, according to a report by the Federation of Small Businesses (FSB).

The study reveals that over half of the small business victims lost more than £1,000, and one in ten experienced losses exceeding £10,000 in the last two years.

The FSB’s “Cracking the Case” report highlights a surge in both virtual and physical crimes, with 81% of small businesses affected between January 2021 and January 2023, compared to 49% in the preceding period from 2017 to 2019.

The FSB has put forth recommendations, including making business crime a priority in Police and Crime Plans, introducing a separate offence for violence against retail workers, implementing mandatory recording processes for business crime, and adding a ‘business crime’ section to crime statistics in England and Wales for better tracking and goal-setting.

FSB Policy Chair Tina McKenzie said: “We need to see firmer and swifter action from the police and Government,
but also politicians standing in the General Election to make business crime a priority as they seek the votes of the UK’s 5.5 million small business owners.”

FSB Development Manager for Gloucestershire and the West of England Sam Holliday added: “The alarming figures revealed in this report show why it is vital this issue is taken seriously by all of us. Small businesses have had an horrendous time since COVID trying to survive stabilise then grow their businesses and the impact of both traditional and cyber-crimes are added
burden that we must try to reduce as much as possible.”