Serious Fraud Office: Tackling Economic Crime

This Government are determined to crack down on the scourge of economic crime, and the Serious Fraud Office does crucial work to tackle complex fraud, bribery and corruption. Under its new director, the SFO has opened nine new overt investigations and charged 16 defendants. Just last week, I saw the SFO’s crucial work at first hand when I observed a dawn raid carried out in relation to a new multimillion-pound bribery investigation.

The vast majority of UK businesses play by the rules, but fraud is estimated to cost UK taxpayers—including my constituents—between £55 billion and £80 billion per year. What is the Serious Fraud Office doing to encourage businesses to self-report wrongdoing?

My hon. Friend is absolutely right; the vast majority of businesses do play by the rules, and fraud is so damaging precisely because it undermines everyone who plays fairly. That is why this Government are so determined to tackle it. I welcome the SFO’s recently revised guidance, which aims to drive up the number of corporates that self-report wrongdoing. That is a positive development that will foster good corporate citizenship, and it is an important contributor to this Government’s economic growth mission.

I thank the Solicitor General for her answer. Since their introduction in 2015, deferred prosecution agreements have resulted in the SFO raising some £1.7 billion in fines, yet those DPAs have dried up—the last DPAs that the Serious Fraud Office signed were some four years ago, in 2021. I welcome the SFO’s new strategy to ramp up enforcement, including new guidance to make it simpler to report crimes, but I believe we can and must go further. Can the Solicitor General outline what steps the Government are taking to support the SFO in ensuring that whistleblowers are also incentivised to come forward?

My hon. Friend raises an important point. The director of the SFO has expressed strong support for the financial incentivisation of whistleblowers, and the SFO’s five-year strategy commits to exploring options, working with partners in the UK and abroad. Reform would require careful assessment, and it is right that any suggestions that could enhance the SFO’s efficiency and our ability as a country to tackle serious fraud, bribery and corruption are properly considered.

One thing that concerns me in Northern Ireland is criminal gangs and former paramilitary gangs being involved in all sorts of crime, now including economic crime. They see business as a way of creating more wealth for their criminal activities. What is being done to take on these criminal gangs, whose tentacles reach right across the United Kingdom of Great Britain and Northern Ireland and, indeed, further afield, which we also have to address? Criminal gangs have to be taken on and have to be taken out of operation and put in jail. Do the Al Capone on them—put them in jail for economic crime.

Your problems are solved, Solicitor General.

The hon. Member is absolutely right that fraud does not stop at national borders, so it is vital that enforcement activities do not stop at national borders either. That is why the SFO takes co-operation with international partners extremely seriously. In fact, most recently, the director launched a new international anti-corruption prosecutorial taskforce with Swiss and French partner agencies to strengthen existing ties between these countries and to lead to greater joint working on cases, as well as the sharing of insight and expertise. I would argue that we need more of those agreements and greater international co-operation to tackle the issue that he raises.

I call the shadow Solicitor General.

I wish to add my own tribute to those who bravely fought for our freedom. Marks & Spencer is a much-loved cornerstone of the Great British high street and an important part of our economy. Many Members right across this House will be shocked to learn that over half a billion pounds has been wiped off its value following a serious ransomware attack. Harrods and the Co-op have also been attacked, and yesterday the Legal Aid Agency was attacked too. Can the Solicitor General confirm what role the Attorney General’s Office has played in ensuring that the criminal justice system treats such attacks robustly? How is it overseeing the response of the Crown Prosecution Service and other relevant agencies to economic and cyber-crime more broadly?

The shadow Solicitor General raises an important issue. We know that this type of crime is on the increase, and it is clearly vital that enforcement agencies and the CPS give it due prominence. She refers to some extremely well-known and much-loved brands. It is important that all those agencies play a role in enhancing awareness of this type of crime, such that it can be properly prevented. The SFO in particular plays a role in raising awareness of online crime so as to protect the public as well as businesses.

I thank the Solicitor General for her response. Can she confirm what assessment she has made of the economic and legal risks posed by ransomware attacks on large UK businesses? Can she give an indication of what steps the Government are taking to ensure that companies of national economic importance are better protected and supported in the aftermath of such incidents?

As I said, the shadow Solicitor General raises extremely important issues—issues that the Government are alive to. This is a cross-Government issue, frankly, and it is important to all those partner enforcement agencies. I can assure her that work is ongoing and is being done to protect businesses and the public from these kind of attacks.