Fraud involves the obtaining of other people's money or assets by deception. A lot of fraud is committed directly against the Government – against the tax and the benefits systems. Her Majesty's Revenue and Customs and the Department of Work and Pensions respectively and not SOCA are responsible for responding to those threats, although SOCA will support them.

Fraud is also committed against individuals and companies, in a wide variety of ways, and often by organised gangs. It is here that SOCA will operate. Some examples of such frauds include:

• against banks, often involving false or stolen identities;
• investment and advance fee frauds, in which individuals are enticed to pay over money against false promises of returns; and
• forms of e-fraud exploiting the use of the internet by banks and commerce.

Much fraud goes unreported, and despite the fact that frauds can cause companies and individuals significant damage, it is sometimes, mistakenly, seen as victimless. As well as generating money that can be used for future crimes, fraud means that everyone pays for more goods and services. In addition, it can cause significant personal difficulties and distress.