Scammers use Budget to prey on victims, with false messages about ‘heating subsidies’ and tax refunds

Fraudsters are abusing the new budget rules to ensnare victims, according to reports and messages from This is Money.

The criminals have targeted people through fake messages and websites offering them a ‘winter heating subsidy’ or a refund of tax payments.

The messages claim to come from official sources such as His Majesty’s Revenue and Customs, and direct them via a link to another website where they are asked to pay money or enter personal details.

Many are mentioning Rachel Reeves and the Budget, hoping to address people’s concerns about how the announcements will affect their finances.

In many cases, scammers are turning to email and text message scams known as phishing and smishing, sending messages claiming to be from government departments such as HMRC.

In examples of these scams posted on social media, scammers offered winter heating subsidies and living expenses subsidies.

One text message read: “Once the number of applicants is sufficient, we will stop providing winter heating subsidies,” and instructed victims to click on a link to sign up for the free payments.

These scammers try to gain access to the victim’s banking details or personal information.

Worryingly, fraudsters are increasingly replicating legitimate websites to make their scams more credible and less likely to be discovered.

One example posing as a BBC News article promoted a £2,300 per month ‘social benefit scheme’, requiring an initial deposit of £200 to receive payments.

One line in the fake story read: “According to Treasury Secretary Rachel Reeves, there are approximately 800 available seats on the platform.

‘Even if you have not yet decided whether you would like to receive compensation of £2,300 per month from the state, we strongly recommend that you complete the registration form to reserve an account for yourself.’

Lauren Hendry Parsons, privacy attorney at privacy software company ExpressVPN, said: “Unfortunately, these types of scams are becoming more common and sophisticated, especially around events like The Budget.

‘National events with a high media profile and a lot of social media commentary around them are an opportunity for scammers to exploit people’s worries and concerns.

‘Scammers will take advantage of the complexity of financial changes to exploit people’s desire to avoid potential losses or boost investment.’

Another showed a fake quote from LBC broadcaster Iain Dale: ‘Iain Dale: ‘I have no doubt this is legal, our lawyers have checked everything. “So you mean to say that every citizen over the age of 35 can invest £200 in this project and receive £2,300 from the state on a regular basis?”

Scammers use these fake websites to pass off their scams as real opportunities to prey on the vulnerable and desperate.

Another scam spotted by This is Money showed a mock-up of the government website, Gov.UK, asking users to enter their full name, number and address, as well as their email address and debit or credit card details to qualify for a payment of £900.

Hendry Parsons said: ‘Fake advertisements and deepfake images and videos have escalated dramatically thanks to the latest developments in AI tools, coupled with their widespread accessibility. Now it is possible for anyone to create fake images, videos and advertisements that are almost indistinguishable from real ones.

‘This technological leap has significantly lowered the barrier for scammers, allowing them to create persuasive fake news style articles, often claiming to offer advice on reducing tax bills or boosting investment. But in reality, these are schemes designed to steal your hard-earned money.

She added: ‘Given all this, it is crucial that individuals exercise caution before taking action on an advert that promises to halve their tax bill or double their investments.

‘The age-old saying applies: if something seems too good to be true, it probably is.

‘To verify the legitimacy of an advertisement related to a specific announcement in the Budget, you should check whether the information is available on an official government website (ending in .gov.uk), or a reliable and well-known media source.’