Customers could lose up to £250m to fraud from Meta-based platforms in 2023, banking industry projections have predicted, with TSB’s chief executive, Robin Bulloch, calling on the social media giant to do more to protect users.

The bank has found that fraud instigated through Meta makes up 80% of fraud cases within TSB’s three biggest fraud categories. Three in five (60%) are on Facebook Marketplace, with a further 18% on Instagram.

Meta platforms also made up 86% of cases of impersonation fraud, primarily through Whatsapp-based ‘friends and family fraud’, which surged by 300% in the past year, and 87% of investment fraud cases, which were largely driven by Instagram (59%).

In addition, TSB estimates that over 70,000 purchase fraud cases took place on Facebook Marketplace in 2022, equating to almost 200 cases a day.

In an attempt to quell the problems highlighted across Meta’s platforms, TSB has introduced five ways in which the company can prevent fraud and the harm it causes.

These include a secure payment mechanism so people can pay on Facebook Marketplace safely; stop unregulated firms, in the UK, advertising investments and financial products, such as cryptocurrencies, on Facebook and Instagram; make a commitment to investigating and removing confirmed potentially fraudulent content within 24 hours; filter and block obvious fraudulent content, including those with terms like ‘cash flip’ and ‘crypto offer’; and flag to Whatsapp users when they’re contacted by new numbers and warn them to check that it is genuine.

TSB does offer a fraud refund guarantee and continues to support victims of fraud and scams, but states that Meta needs to provide protection that its millions of users need.

Director of fraud protection, Mark Davis, said: “Meta needs to face up to its responsibility: it has a duty of care to the millions of customers who use its platforms, which is all the more important when we see innocent people lose life-changing sums every day.

“Today, we have written to Meta demanding it puts in place the tech interventions urgently required to stem the tide of fraud and protect the many consumers who put faith in its services.”

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