BRC survey reveals human and financial cost of retail crime

The BRC is publishing its 14th annual survey today, ahead of this week's Annual Loss Prevention Conference.

This year the survey has concentrated on detected theft. That is where the thief was actually caught and prosecuted. This gives a highly reliable, though very conservative measure. Previous BRC surveys have shown 75 per cent of losses go undetected.

Financial Cost of Retail Crime Up

The survey shows, for UK retailing as whole, losses from detected customer theft rose 8.5 per cent from £189 million to £205 million in a year. Losses to undetected customer theft are likely to have risen by at least the same proportion bringing the total cost of goods stolen to £830 million.

The increased cost of detected thefts indicates a combination of more thefts, higher value thefts and retailers' increased investment in security measures.

Across stores of all types, the number of detected shoplifting incidents rose, year-on-year by nearly three per cent to almost 40 per store per year, also the highest level for ten years. The average value of goods stolen in each incident rose by £7 from £149 to £156.

Human Cost of Retail Crime Up

Despite these figures, it is the increasing human cost that is of greatest concern to retailers. The survey reveals the alarming rise in violence aimed at shop workers.

Many retailers are extremely aggrieved that retail crime is treated so lightly. This has led to under reporting of incidents, especially among smaller retailers who believe retail crime is not taken seriously by police or judiciary and reporting it achieves nothing.

The BRC survey shows, compared with last year, incidents of physical violence rose 50 per cent while threats of violence more than doubled and the number or incidents per employee rose by a third.

British Retail Consortium Director General Kevin Hawkins said, “Last year shop staff were subjected to around half a million incidents of abuse or violence in their work places and retailers clocked up even greater losses to theft. It's clear the current approach is not working. The Government and law enforcers must stop believing retail crime as victimless and committed by harmless petty criminals. Most shop thieves are driven by drug addiction. They are certainly responsible for other crimes. They have a significant impact on our communities”.

“In pledging an increased emphasis on 'Neighbourhood Policing' and, so called, policing by participation the Government must recognise retailers are a valuable asset to our communities and that shop workers are citizens within those communities, worthy of protection. Not just part of a large industry that can go on taking this annual beating.”

The BRC says The Sentencing Advisory Panel's proposals to remove custodial sentences for shoplifting and the fact that business crime, let alone retail crime, is not recorded separately both reinforce the notion that retail crime is unimportant.

Long running BRC campaigning on business crime resulted in a National Retail Crime Steering Group being established this year. It is co - chaired by Home Office Minister Vernon Coaker and BRC Director General Kevin Hawkins. The BRC has welcomed the move saying it wants the group to ensure retail crime is taken more seriously by Government, police and judiciary and that crime policy is not made in isolation.