Organised crime groups are deploying a sophisticated “gift card draining” scam across Scotland, threatening to defraud shoppers of thousands of pounds from the lucrative UK gift card and voucher market, valued at approximately £8 billion annually. Police Scotland has issued an urgent warning, particularly as the festive shopping season approaches.
The elaborate three-stage fraud begins with gangs stealing prepaid gift cards from retail outlets. These cards are then tampered with, allowing criminals to gain online access to their accounts, before being returned to shop shelves. Once an unsuspecting customer purchases and activates a compromised card, the fraudsters, who are “lurking online,” swiftly siphon off the funds. Victims often remain unaware of the deception for weeks or even months, only discovering the empty balance when the recipient attempts to use the card.
A spokesperson for Police Scotland acknowledged the threat, stating: “While we are aware of gift card draining, offences of this nature are currently not reported in significant numbers within Scotland, however, we would urge retailers and customers to always remain vigilant.”
The force advises both retailers and the public on preventative measures.
“Store staff can help prevent such offences by displaying gift cards close to tills and other areas where it is less easy for criminals to steal them without being detected,” the spokesperson added.
For consumers, the advice is clear: “For the public, we would ask that you inspect any gift card prior to purchase and if there is any evidence of tampering do not buy it – instead report it to staff within the premises.” All suspicious activity, including gift card thefts, should be reported to the police immediately.
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This warning follows a successful operation by Police Scotland’s Retail Crime Task Force (RCTF) earlier this year. During a joint initiative in May and June, the RCTF collaborated with a national retailer to dismantle a crime gang suspected of running a widespread gift card rigging scheme across both Scotland and England. The operation led to two arrests and the seizure of more than 800 gift vouchers and £12,000 in cash.
To mitigate risks, shoppers are advised to carefully check packaging for any signs of tampering, select gift cards from secure or staffed locations where possible, and always retain their purchase receipt.
Miconex, which operates some almost 100 Town & City Gift Card and Scotland Loves Local Gift Card initiatives, reported that Aberdeen Gift Card was the top-selling in the UK, outstripping the likes of London, Glasgow and Cardiff by a considerable margin.
