Recovery Scams in the United Kingdom
After suffering investment or crypto fraud, UK victims are often re-targeted by 'asset recovery' firms that charge large upfront fees but have no legitimate ability to retrieve lost funds. These firms frequently impersonate the FCA or Action Fraud.
Part of: Recovery Scams
Last reviewed: 1 June 2026
The United Kingdom's Action Fraud database and FCA warning list are both public resources, and fraudsters mine them for contact information on recent victims. Within days or weeks of reporting a loss, victims may receive calls from firms claiming to be specialist asset recovery agents, former law enforcement officers, or even FCA representatives who have 'tracked down' their stolen funds.
This secondary scam inflicts a double financial harm: victims who have already lost money are persuaded to pay thousands of pounds more in upfront fees for a recovery that never materialises.
How this scam works on United Kingdom
The recovery firm contacts the victim by phone or email, demonstrating apparent knowledge of the original fraud (gathered from public reports or bought lists). They explain that they have identified the perpetrators or frozen accounts containing the victim's funds, but need an advance fee — for legal costs, a court order, or an FCA processing fee — before funds can be released.
Legitimate trappings are deployed: official-looking letters with FCA logos, Companies House numbers for recently formed shell companies, and professional websites. Some callers claim to be police officers from a financial crimes unit, warning the victim not to discuss the matter with their bank.
Victims who pay the initial fee are then asked for further payments at each supposed stage of recovery, with excuses multiplying until no more money can be extracted.
Common red flags
- Contacted out of nowhere by someone who claims to know about your previous fraud loss
- Request for an upfront fee before any funds can be recovered
- Caller claims to represent the FCA, Action Fraud, or a law enforcement agency and requests payment
- The 'recovery firm' is a recently incorporated company with no verifiable track record
- Instructions to keep the process secret from your bank or family members
- Fees escalate with each supposed stage of the recovery process
- FCA registration number that does not match when checked on the FCA register
How to protect yourself
- Verify any recovery firm on the FCA register at register.fca.org.uk before engaging
- Never pay upfront fees to anyone claiming to recover money on your behalf
- Confirm that any caller claiming to be from Action Fraud or the FCA is genuine by calling the official number you find independently
- Report the recovery contact to the FCA using their online reporting form even if you have not paid
- Seek free advice from Citizens Advice or a regulated solicitor if you need help pursuing a fraud claim
- Be aware that legitimate FCA enforcement never requires victims to pay fees
How to report it
- Report to Action Fraud at actionfraud.police.uk or by calling 0300 123 2040
- Report the recovery firm to the FCA at fca.org.uk/consumers/report-scam
- Contact Citizens Advice for free guidance on legitimate routes to recover fraud losses
Frequently asked questions
How do I know if someone offering to recover my scam losses is legitimate?
The FCA and Action Fraud never cold-call victims offering recovery services for a fee, so any unsolicited contact claiming to represent them should be treated as a scam. Legitimate recovery, if possible at all, typically comes through your bank, the police, or a solicitor you've independently chosen.
Where do I report a UK recovery scam?
Report it to Action Fraud (actionfraud.police.uk) and, if the firm claimed FCA authorisation, verify and report the impersonation to the FCA directly. Keep records of all contact and any payments made to the recovery firm.
Why do recovery scammers specifically target people who've already been scammed once?
Victim details are often bought, sold, or shared among fraud networks precisely because someone who has already lost money once is emotionally invested in getting it back and may be more willing to take a chance on a promised solution. Being targeted twice doesn't reflect poorly on you — it's a known, deliberate tactic.
Is there a legitimate way to recover money lost to fraud in the UK?
Potential routes include reporting to Action Fraud and letting police investigate, using your bank's APP fraud protections if you were tricked into authorising a payment, or consulting a regulated solicitor. None of these legitimate routes require upfront fees paid to a third-party recovery firm.