Retail crime reduction could be undermined by economic slowdown

(21/10/2008)

The latest British Retail Consortium’s (BRC) Retail Crime Survey 2008 shows numbers of customer thefts down 26 per cent in the year to April but the survey still recorded a third of a million shoplifting offences - that is one every 90 seconds. Employee theft fell 56 per cent in the year to April.

Retailers believe the reductions were a result of economic stability during that period, improved policing and their own spending on crime prevention. However, etailers are seriously concerned that the economic slowdown will wipe out falls in retail crime achieved over the last year.

This year’s BRC survey shows shoplifting is the most costly crime for shops. It accounted for 64 per cent of all retail crime losses. Well above burglary (16 per cent), robberies (8 per cent) and employee theft (8 per cent).

For the first time the BRC survey has collected data on internet fraud. The BRC survey shows internet fraud growing as online retailing expands. Online sales are predicted to account for 10 per cent of all retail sales by 2010. Of those retailers who sell online, 85 per cent had experienced internet fraud in the year to April and 64 per cent said internet fraud had increased. Retailers are concerned the Government and police do not have adequate mechanisms to deal with the increase in e-crime.

In the BRC report, Director General Stephen Robertson said: “The credit crunch threatens to bring an abrupt end to this trend. Recent reports have focused on a surge in shoplifting and fuel thefts. Retailers are preparing for a rapid rise in offences and are adapting crime prevention methods, for example, placing electronic security tags on expensive cuts of meat.”

Using modelling from the last recession, a leaked Home Office document warned of a significant rise in theft, burglary and violence as a result of the economic downturn.

The BRC retail crime statistics are consistently higher than official recorded figures, indicating retailers continue to believe it is often not worth reporting crime to the police.

The BRC welcomes the retail crime reductions revealed by its survey but warns that the Government needs to take further steps to ensure those gains are not swept away as economic conditions worsen.

The BRC recommendations include:

* End misuse of Penalty Notices for Disorder which are frequently issued in circumstances outside the guidelines.

* Sentences for commercial burglary should take account of all costs, including repairs, lost trade and employee time, not just the value of the goods stolen.

* Raise the knowledge and understanding of local police officers for dealing with fraud and the growth of online crime.

* Continue the move away from nationally-set targets (which have largely ignored business crime) and towards local setting of crime priorities. Ensure the importance of retail to local economies and communities is recognised in those priorities.

Stephen Robertson, BRC Director General, said: “The falls in retail crime revealed by the BRC survey are not enough and cannot be taken for granted. Day and night, seven days a week, someone steals from a shop every 90 seconds. With the economic slowdown worsening, retailers deserve Government and police support in their battle to stop the human and financial costs rising again.”

Related topics:  Crime and Fraud Prevention   Internet and Web security   Tagging vandalism and theft prevention 

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