Recent research from the Federation of Small Businesses revealed that over half of small businesses in England and Wales lost more than £1,000 in the last two years due to traditional crimes, including organised shoplifting.

According to the “Cracking the Case” report, 81 percent or 4.1 million small businesses in England and Wales faced both virtual and physical crimes between January 2021 and January 2023, a significant rise from 49 percent between 2017 and 2019.

More than a third (35 percent) encountered traditional crimes such as vandalism or damage to premises and anti-social behaviour (34 percent), burglary or robbery (30 percent), and theft by a third-party (29 percent).

The financial blow was significant, with 56 percent of victims suffering losses exceeding £1,000, while another 33 percent lost up to £1,000. For a staggering 11 percent of the business, the losses exceeded £10,000.

The report also highlights a rise in organised shoplifting and instances of threatening behaviour directed at shop owners and their staff. Some businesses express concern that organised shoplifting is being perceived as an acceptable operational expense amidst these escalating incidents.

Despite often being labelled as “petty” theft, shoplifting cost UK retailers a staggering £953 million last year, according to the non-profit organisation Retailers Against Crime (RAC).

These crimes took place despite small businesses taking at least one security measure to protect themselves. Around 65 percent fortify against traditional threats by installing up-to-date security, holding a training programme and applying for improved insurance. Nearly all (92 percent) fight cybercriminals and fraudsters with anti-virus and software updates.

“We’ve been hearing countless reports of organised shoplifting over the past year, and our study further shows how serious and unprecedented the problem is,” said FSB Policy Chair Tina McKenzie.

“We need to see not only firmer and swifter action from the police and government but also politicians standing in the general election to make business crime a priority as they seek the votes of the UK’s 5.5 million small business owners.”

Moreover, police and charities with vulnerable people found that organised crime rings are trafficking and exploiting Eastern European women and children in the UK, forcing them into large-scale shoplifting sprees.

In one high-profile case, a gang of Eastern European criminals in Glasgow has recruited 154 thieves since its discovery in 2019. The group strategically targets retailers in major cities such as London, Birmingham, Manchester, Darlington, and several locations across the North and Scotland.

Protecting your business

With criminals being able to override security measures, protecting your business can be tricky. In an interview with Daily Mail Online, a London camera shop named Chiswick Camera Centre said it has resorted to locking up its expensive equipment inside a metal cage after losing £70,000 in a string of robberies.

The shop got slammed twice by ram-raiding thieves during lockdown. It lost £40,000 in the first hit in November 2020, followed by another one in April 2021, incurring a £30,000 loss.

With such cases on the rise, now is the time to review and adjust your business’s security protocols. These include physical and digital measures to protect against internal and external threats, along with implementing policies for data and employee access.

If you need help identifying your security vulnerabilities, consider hiring security companies like Marengo. They create custom-tailored security measures that suit your business, assist with installing security tools, liaise with emergency services, and deploy personnel in the field.

Security personnel can conduct internal and external patrols to meet short-term or long-term guarding needs. These guards can be available 24 hours a day and seamlessly integrate into existing security infrastructure, safeguarding your business from unwanted intruders.