NLJ this week: Fraud claims climb as courts brace for AI threats

26 September 2025

Issue: 8132 / Categories: Legal News , Fraud , Procedure & practice , Jurisdiction , International , Insolvency , Dispute resolution , Commercial

Charlie Mercer and Astrid Gillam of Stewarts crunch the numbers on civil fraud claims in the English courts, in this week's NLJ. New data shows civil fraud claims rising steadily since 2014, with the King’s Bench Division overtaking the Commercial Court as the forum of choice for lower-value disputes

Banking and finance remain the most fraud-hit sector, with the Supreme Court’s Bilta ruling widening the scope for third-party liability in fraudulent trading.

International parties still flock to London, attracted by its robust process and remedies, though rival jurisdictions like Singapore and Dubai loom large.

Looking ahead, the new ‘failure to prevent fraud’ offence under the Economic Crime Act 2023 will force big companies to tighten controls—or face liability. Meanwhile, AI and deepfake scams are already inflicting multimillion-pound losses, as shown by a £20m Hong Kong fraud at Arup. Mercer and Gillam warn that insolvency spikes could fuel yet more fraud litigation in the years ahead.

Issue: 8132 / Categories: Legal News , Fraud , Procedure & practice , Jurisdiction , International , Insolvency , Dispute resolution , Commercial

Insights into shifting commercial fraud trends

NLJ this week: Fraud claims climb as courts brace for AI threats

Banking and finance remain the most fraud-hit sector, with the Supreme Court’s Bilta ruling widening the scope for third-party liability in fraudulent trading.

International parties still flock to London, attracted by its robust process and remedies, though rival jurisdictions like Singapore and Dubai loom large.

Issue: 8132 / Categories: , Legal News , Fraud , Procedure & practice , Jurisdiction , International , Insolvency , Dispute resolution , Commercial

Insights into shifting commercial fraud trends

SourceURL:

Links:

E-newsletter Sign-Up

MOVERS & SHAKERS

Read All

Freeths—Ruth Clare

National real estate team bolstered by partner hire in Manchester

Farrer & Co—Claire Gordon

Partner appointed head of family team

mfg Solicitors—Neil Harrison

Firm strengthens agriculture and rural affairs team with partner return

NEWS

Read All

Conveyancers celebrate U-turn over mortgage handbook fee

Conveyancing lawyers have enjoyed a rapid win after campaigning against UK Finance’s decision to charge for access to the Mortgage Lenders’ Handbook

Are you suited to a career in prosecution?

The Crown Prosecution Service (CPS) has launched a recruitment drive for talented early career and more senior barristers and solicitors

LSB marks Mazur homework

Regulators differed in the clarity and consistency of their post-Mazur advice and guidance, according to an interim report by the Legal Services Board (LSB)

NLJ this week: When AI hallucinates, lawyers risk real-world sanctions

The dangers of uncritical artificial intelligence (AI) use in legal practice are no longer hypothetical. In this week's NLJ, Dr Charanjit Singh of Holborn Chambers examines cases where lawyers relied on ‘hallucinated’ citations — entirely fictitious authorities generated by AI tools

NLJ this week: Stuck in the past?

The Solicitors Act 1974 may still underpin legal regulation, but its age is increasingly showing. Writing in NLJ this week, Victoria Morrison-Hughes of the Association of Costs Lawyers argues that the Act is ‘out of step with modern consumer law’ and actively deters fairness

Error message

NLJ this week: Fraud claims climb as courts brace for AI threats

MOVERS & SHAKERS

Freeths—Ruth Clare

Farrer & Co—Claire Gordon

mfg Solicitors—Neil Harrison