A new report is recommending all consumers be given access to one free credit report per year in order to combat identity theft, one of the UK's fastest growing crimes*.
The report, Identity Theft and Fraud: Learning from the USA was written by leading criminologist Professor Martin Gill and commissioned by Capital One. Professor Gill suggests that free annual credit reports would enable consumers to monitor their accounts and take action as appropriate.
Professor Gill's report looks at how the UK might better tackle the growing issue of identity theft by appraising measures introduced in the US.
A key recommendation made in the report is for the Government to set out a clear strategy for the sharing of data between agencies and the private sector.
Professor Gill's report also suggests that consumers who fear that they have become victims of identity theft could require that a fraud alert be put on their credit report files. This would alert anyone accessing that file to potential frauds.
Professor Martin Gill, leading criminologist and director of Perpetuity Research and Consultancy International, who wrote the report said: "Ideally, credit reference agencies should be responsible for sharing the fraud alert among themselves, and so saving I.D. theft victims the hassle of having to contact each credit reference agency individually."
Under current UK law, identity theft is not yet recognised as a crime category. However, this is currently being addressed by the Fraud Bill. But the report questions whether the Police have the necessary resources to tackle ID theft even after being given greater legal powers.
The report states that the US has taken a more rigorous approach to identity theft and sentences for convicted ID thieves can extend to life imprisonment.
Ideas that may be adapted from the American experience to improve the response in the UK are listed below:

- Better education for Police on ID theft - there are attempts to educate law enforcement about identity theft and fraud but not everyone feels that these are sufficient, including within the police, and that the financial sector needs to consider a co-ordinated strategy or a more focused one.