A landmark UK government-commissioned review has recommended paying whistleblowers financial rewards and equipping all judges and magistrates with the skills to handle cases involving cryptocurrencies and artificial intelligence-enabled fraud. The report, titled “Fraud in the Digital Age,” was led by Jonathan Fisher KC and presented to Parliament by the Home Office on July 14 as a Command Paper.
The review notes that fraud now represents almost 50% of reported crimes in England and Wales, yet only 1% lead to a criminal justice outcome. It urges the government to treat fraud as “a national security and economic priority rather than a low-level financial crime.” A key proposal is that the Serious Fraud Office introduce a US-style whistleblower reward scheme, accompanied by new criminal offenses for false reports and witness intimidation, and an independent arbitration panel to handle complaints.
On the judicial front, the report highlights a gap in expertise. Non-specialist judges and magistrates are “ill-equipped” for crypto-related cases, prompting a call for the Judicial College to design mandatory training on crypto laundering and AI scams for the entire judiciary, not just courts in major cities. While the existing Fraud Act 2006 is deemed adequate for AI-enabled fraud, the system lacks the practical capacity to cope. The review points to “pig butchering” scams and AI-generated personas used to groom victims before leading them to fake investment platforms.
Other recommendations include doubling maximum sentences for serious fraud and money laundering to 20 years, introducing an anti-fraud levy on social media companies, and creating new offenses for impersonation and money muling. The government has stated it will study all 47 recommendations and respond promptly.
