UK retail theft to cost £7.9bn in 2023

Thruvision Group PLC

13 November 2023

 

13 November 2023

Thruvision Group plc

UK retail theft to cost £7.9bn in 2023

Thruvision Group plc, the leading provider of walk-through security technology, has today with Retail Economics, an independent economics research consultancy , published research that shows UK retailers forecast that theft will cost them £7.9bn this year.

Shoppers account for 60% of the value of the theft (£4.7bn) while employees, working in distribution centres (DCs), distribution and stores, account for 40% (£3.2bn).

Theft in DCs is the employee crime that is under-reported by retailers with some 42.6% (£1.4bn) of the total employee theft from DCs.

Around two thirds of retailers interviewed believe that over the past decade the opportunity for crime in DCs has accelerated. Among those that have seen an increase in employee theft over the past year, 70% state they've seen an increase in organised crime in DCs.

A copy fo the report can be found here: https://www.retaileconomics.co.uk/uploads/file/The%20Cost%20of%20Retail%20Crime%20Report%20(Thruvision%20-%20Retail%20Economics).pdf

Colin Evans, Chief Executive, commented:

"That employee theft is a rapidly growing problem is not a surprise, but the scale of financial losses suffered by UK retailers in their distribution centres really is. What is even more surprising is that so few retailers seem to be prepared to deal with this very serious problem when proven technology solutions exist - only one in six retailers are investing in detection and deterrence technology to solve Distribution Centre theft.

"Our fast, effective and employee-friendly security technology is used to check quickly many thousands of loyal and hard-working staff every day in DCs across the UK, and is proven to deter criminals, petty and organised, from stealing from their employers.

"Many well-known high-street retailers have demonstrated how our technology has a return on investment of six months or less."

Richard Lim, CEO of Retail Economics, says:

"Retail crime adds to a backdrop of rising operating costs that have squeezed profitability in recent years. A startling 40% of theft stems from a minority of retail employees. The nature of theft becoming more organised demands a widespread and holistic approach incorporating deterrence, detection, and industry-wide collaboration.

"Proactive measures not only curb the impact of theft, but also cultivate a safer environment, attracting talent and fortifying the industry. Striking a balance between fairness among honest employees and deterrence is now pivotal as structural shifts leaves retailers vulnerable to disconnected workforce and supply chain complexity."

For further information please contact:

Thruvision Group plc                                                                                     [phone]

Colin Evans, Chief Executive

Victoria Balchin, Chief Financial Officer

Investec Investment Banking (NOMAD & Broker)                            [phone]

Patrick Robb / James Rudd / Sebastian Lawrence

Meare Consulting                                                                                           [phone]

Adrian Duffield

About Thruvision (www.thruvision.com)

Thruvision is the leading developer, manufacturer and supplier of walk-through security technology. Its technology is deployed in more than 20 countries around the world by government and commercial organisations in a wide range of security situations, where large numbers of people need to be screened quickly, safely and efficiently. Thruvision's patented technology is uniquely capable of detecting concealed objects in real time using an advanced AI-based detection algorithm. The Group's offices are near Oxford and Washington DC.

Retail Economics

Retail Economics is an independent economics research consultancy focused on the consumer and retail industry. It analyses the complex retail landscape to draw out actionable insight for its clients by supplying proprietary data on sector growth, behavioural trends, channel performance and forecasts. Its research and subscription service provides unbiased analysis on the key economic and social drivers underpinning the retail sector, helping to inform critical business decisions, giving organisations a competitive advantage through deeper insights.

Find out more at: www.retaileconomics.co.uk, or email: [e-mail]

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