The Economic Abuse by the Numbers

 

Economic abuse is a crime, and older people are key victims and victim-survivors of such abuse. But this abuse and the costs to the victim, society and the economy are hidden and all too often ignored. Understanding the effect and prevalence of economic abuse on older people is an essential first step to addressing
it, yet policy makers and the public are not aware of the spread and effect of economic abuse on older people. The figures used in this document are often shocking, but many of the statistics are based on available data, therefore the actual numbers are likely to be considerably greater.

 

The impact of any kind of abuse or neglect on older people can be truly devastating. Older people as victims of financial crime are twice as likely to die prematurely as their non-victim peers, hence Hourglass’s campaign to build a Safer Ageing Society by 2050.

 

Economic abuse is often a gateway to reporting many other forms of abuse on the Hourglass helpline. Look beneath the surface of a call about fraud, theft or deception and often there is an older person dealing with physical, psychological or even sexual abuse. However, economic abuse alone is an overwhelming issue for older victims, especially if they are on limited incomes such as a state pension. Many may lose immense sums of money, lose property they have lived in for years, incur large debts, or simply do not have enough money to live on. Older people may also find it harder to recover financially from economic abuse because of the limited opportunities and time for investment and monetary growth compared to those aged younger. Mental and physical health effects and, as previously underlined, premature care admission and death may also result.

 

 

 

Again, we know this is likely to be a significant underestimation.

 

The prevalence of abuse in older age, including financial exploitation, has also been exacerbated by the COVID-19 pandemic. Factors such as increased isolation, heightened anxiety, and greater reliance on digital technologies have made older adults more susceptible to scams and financial exploitation. This is another trend which requires action. In the United States, the Federal Bureau of Investigation (FBI) reported that in 2023, Americans aged 60 and older suffered losses exceeding $3.4 billion due to scams, marking an 11% increase from the previous year. This alarming trend underscores the growing threat of financial exploitation targeting older people.

 

Back in the UK, Hourglass believes that older victim-survivors have been last in line for too long. The effect that the abuse of older people has on society and the economy can no longer be ignored by the public and policy makers. Yet, all too often older people are not considered a group worthy of consideration when policy or legislation is designed. This is especially surprising when we learn that economic abuse, and all forms of abuse, cost the UK and its individual nations billions of pounds per year. In fact, The UK Government spends around £85 million per year on domestic abuse services and yet specialist services for older people have received on average less than £500k per year.

Change is sorely needed, and long-term attention and funding must be delivered to support and protect older people.

 

This brief paper sets out the key statistical points around the economic abuse of older people.