Failure to Prevent Fraud Law: A New Era for Business
On 1 September 2025, the UK introduced the new corporate offence of failure to prevent fraud. Large organisations can now be prosecuted if someone linked to them commits fraud for their benefit.
Why It Matters
Moves businesses from reacting to fraud to preventing it
Requires stronger controls, training, and whistleblowing systems
Enforcement could mean significant fines and reputational damage
imabi’s View
This legislation puts prevention at the heart of compliance. Businesses should review risk frameworks, engage staff, and strengthen reporting lines. With imabi Pro, organisations can build safer, more transparent workplace cultures.