When it comes to fraud, open banking is behind the curve – in a good way. Fraud linked to open banking payments are well below the banking industry average, new research from Open Banking Limited (OBL) found.

This is despite the increasing use of open banking services across the UK, as well as the rise of scam and fraud cases.

Fraud targeting these transactions amounted to just 0.013% of transactions by volume from March 2024 to September 2025. This is compared to the 0.045% average of the wider payments sector over the same period.

The value of fraud routed in open banking payments was also lower than the industry average (0.020% versus 0.027%), the research found.

OBL also found that while fraud increased in the wider industry since the December 2024 report (from 0.037% to 0.045%) the open banking sector saw a decrease in fraud cases over the period (from 0.021% to 0.013%).

The industry did see a marked increase in authorised push payment (APP) scams, which the report noted as the most common type of fraud being employed in the UK. APP was noted as a driver in the uptick of fraud witnessed in the sector from June 2025 to September 2025.

This type of fraud relies on manipulating victims to authorise a payment to a scammer often using social engineering to convince a victim the payment is genuine.

Recommended reading

• UK Gov Plans to Fast‑Track Fintechs With Temporary Licences
• The UK Is No Longer a Fintech Leader, Say Founders
• Which Trends Are Driving UK Fintech This Year?

“Open banking remains resilient against fraud, with rates consistently below industry benchmarks,” said Christian Delesalle, head of participant support at OBL.

“While we are seeing a slight increase in APP fraud, this is a sector-wide challenge and not unique to open banking. Our data-driven approach and industry partnerships are key to maintaining robust defences as adoption grows.”