AI-powered scams now the biggest fraud threat facing Irish consumers

7 in 10 compliance professionals in Irish financial organisations, rank AI-enabled impersonation scams, including voice cloning, deepfake video, and fake identity use, as the single biggest scam threat facing consumers in 2026

New research from the Compliance Institute, the professional body for compliance professionals in Ireland, has revealed concern amongst compliance professionals about the role artificial intelligence is playing in scams targeting Irish consumers, with fraudsters increasingly using the technology to impersonate banks, family members and even well-known public figures.

The findings come from a survey of 125 compliance professionals working across Irish financial services organisations, who were asked to identify the top 3 scams, the highest risk channels and the business impacts they consider the biggest threat to Irish consumers this year.

AI-powered scams to watch out for

Top 3 Scams identified by the Compliance Institute Scams Survey include:

1. AI-enabled impersonation scams, including voice cloning, deepfake video, and fake identity use (e.g. pretending to be a bank, regulator, or family member) (70%);
2. Phishing and smishing (text message scams) impersonating trusted brands, delivery companies, banks or government bodies ranked second in the highest risk to consider (50%);
3. AI-generated social media and advertising scams, including fake celebrity endorsements and fraudulent influencer content, came third (45%)

Commenting on the findings, Michael Kavanagh, CEO of the Compliance Institute,

“Scams have come a long way from the badly spelled emails or overseas Princes that many of us learned to spot years ago. Fraudsters are now using artificial intelligence to clone voices, generate convincing video and build entire fake identities in order to trick people into handing over their money or personal information.

What makes this wave of fraud so dangerous is how convincing it has become. A phone call that sounds exactly like your bank, or a video that appears to show a celebrity endorsing an investment, can be very difficult to distinguish from the real thing. Criminals don’t need to be technically sophisticated themselves anymore because AI tools can do the heavy lifting for them in that regard.”

The Compliance Institute findings echo wider trends emerging in Ireland. Recent research from the Central Bank of Ireland found that more than one in three adults in Ireland have experienced fraud, with almost two-thirds of those losing money as a result, while over a third of victims did not report the incident to any authority. Separately, telecoms provider Three Ireland has said recently that it blocked more than 26 million suspected scam calls and intercepted over 455,000 fraudulent text messages in 2025 alone, while a recent report from the Irish Internet Hotline identified more than 200 fake websites set up to target Irish consumers last year, with confirmed financial scams up 52% on the previous year.

The Impact

The Compliance Institute survey also examined how scams are affecting Irish financial organisations directly. While half (50%) of respondents said their organisation had not been impacted by a scam in the last year, the other half reported a range of impacts including:

• Almost a quarter (24%) reported an increase in regulatory reporting and compliance workload
• Over one in five (21%) said their organisation had incurred significant costs from fraud prevention and supporting affected customers
• One in five (20%) reported an increase in fraud-related complaints and case handling
• Almost one in five (18%) said their customers had lost money and/or had their data compromised

Mr Kavanagh continued,

“Though half of those we asked said they hadn’t been directly impacted by scams this year, the reality is that scams are now a live, day-to-day cost for almost every financial service organisation, whether that’s in direct financial terms, extra compliance workload, or the time and resources spent supporting customers who’ve been targeted.”

Consumer Exposed

Asked where they believe consumers are most commonly exposed to scams, compliance professionals identified the following as the top 3:

1. Social media adverts and pop-up promotions (65%)
2. Email phishing campaigns (64%)
3. SMS or messaging apps such as WhatsApp (64%)

Mr. Kavanagh, went on to say,

“Consumers are being targeted through the platforms they use every single day whether it’s their social media feed, their inbox, their phone. That’s why this isn’t just an issue for banks and regulators to solve. Everyone, from individuals, families, businesses, tech platforms, and regulators, has a role to play in staying alert and stopping these scams in their tracks.”

The Compliance Institute is the professional body for compliance professionals.   With over 3,850 members, it is the premier provider of education and professional development in compliance offering the largest suite of compliance programmes anywhere in the world.  The Licentiate of Compliance Institute (LCI) designation is seen as the benchmark qualification for compliance professionals working in the financial services industry. The Institute provides a balanced and authoritative voice on matters relating to regulatory compliance and business ethics in industry in Ireland.

Appendix

Which of the following scam types do you currently believe presents the highest risk to consumers in 2026? (Select top 3)

AI-enabled impersonation scams, including voice cloning, deepfake video, and fake identity use (e.g. pretending to be a bank, regulator, or family member)  70pc

Phishing and smishing attacks, impersonating trusted brands, delivery companies, banks, or government bodies 50pc

AI-generated social media and advertising scams, including fake celebrity endorsements and fraudulent influencer content   45pc

Authorised Push Payment (APP) fraud, including impersonation scams and invoice/redirection fraud   30pc

Crypto-asset investment scams, including fraudulent trading platforms and “get-rich-quick” schemes    20pc

Online rental and accommodation scams, including holiday lets and student/back-to-college housing fraud    15pc

How have scams impacted your organisation and customer base over the last year? (multi select)

Customers have lost money   18pc

Customers have had their data compromised    18pc

The business has incurred significant costs arising from fraud prevention and financial support to impacted customers    21pc

Company reputation has been damaged and customer trust eroded    7pc

Increase in regulatory reporting and compliance workload   24pc

Regulatory fine has been imposed  3pc

Business profits have been hit    1pc

Increase in volume of fraud-related complaints and case handling    20pc

None of the above as our business has not been impacted by a scam   50pc

Through which channels do you believe consumers are most commonly exposed to these scams? Please select all that apply.

• Social media adverts and/or “pop-up” promotions                                                  65pc
• Online retailers                                                                                                                   26pc
• Search engine advertising                                                                                                26pc
• Email phishing campaigns                                                                                               64pc
• SMS or messaging apps                                                                                                   64pc
• Dating websites                                                                                                                  12pc
• Online marketplaces or rental platforms                                                                     27pc
• Influencer or video content platforms                                                                          23pc

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