According to police authority officials the level of mortgage fraud in the UK has rocketed to £700 million a year, and is an industry that is continuing to grow and attract the attention of organised criminals. This information has come from the Association of Chief Police Officers, which is calling for a specialist team to be put together to deal with the issue of mortgage related fraud. However, the £700 million figure is disputed by the Council of Mortgage Lenders.

The Council of Mortgage Lenders has stated that whilst it welcomes the idea of police officers receiving training to help them to identify and tackle mortgage fraud there is no way of putting a figure on the level of mortgage fraud. The police have said that this type of fraud has become a huge and growing problem, with criminals able to make a lot of money from it. Authorities want a specialist team that could deal with matters such as false valuations and applications involved in mortgage relate fraud.

Police have said that in general fraud has become a crime that is second only to drug trafficking in terms of the amount that it is costing the country, adding that total fraud costs are around £20 billion a year. The City of London Police force is already recruiting for a new fraud squad, which will be involved in work across the country, assisting in fraud investigations, providing training to public and private investigators, and offering fraud prevention advice.

Police officials have added that the huge costs relating to fraud have come about due to the cost of investigations and prevention, the value of lost revenue, and the value of stolen assets.

Recent news:

• Mortgage provider was failed by FSA
• Avoid knocking the value of your home down further
• 25 year fixed rate mortgages – the experts’ thoughts
• Will additional cash help to ease mortgage markets?
• Regions of England and Wales see property prices slump

If you like this post why don't you subscribe to our feed?

Related Articles

• Disaster could lie ahead for those on interest only mortgages
All mortgages in the UK come under two main categories, which are repayment mortgages, also known as capital and interest mortgages, and interest only mortgages. With repayment mortgage the monthly repayment made by the borrower
• Regulator continues to crack down on mortgage fraud
Since the onset of the global credit crunch in 2007 mortgage related fraud has become increasingly prevalent in the UK, as well as in other countries such as the United States. This has led regulatory
• FSA takes action against broker
The UK's financial regulator, the Financial Services Authority, has recently taken action against a mortgage broker that was said to be involved in fraudulent activity. The regulator has both fined and banned the broker after
• Take fast action to get a good mortgage deal
A number of mortgage brokers have been stressing the importance of quick action to consumers, stating that in order to get a competitive mortgage they need to act quickly. These brokers claim that competitive mortgages
• A five year fix could work out cheaper than a two year one
Fixed rate mortgages for short periods have become popular in the UK over recent years. The Chancellor of the Exchequer, Alistair Darling, is pushing for consumers to consider very long term fixed rate deals, such