The UK’s new Online Safety Act was meant to make the internet safer but it’s also triggered a surge in VPN use that compliance experts warn could be giving fraudsters an easier way into the property market.
Swiss-based Proton, maker of one of the world’s most popular VPN apps, says UK sign-ups spiked 1,400% just minutes after the Act’s age restriction rules went live last month.
That’s not just a headache for social media platforms.
According to Fraser Mitchell (main picture, inset), Chief Product Officer at SmartSearch, it’s a wake-up call for any industry that relies on knowing exactly who – and where – their clients are.
CRIMINAL LOOPHOLE
He says: “For just a few pounds a month, anyone can download an app, select a different country, and instantly appear to be logging in from a jurisdiction where age restrictions don’t apply.
“It’s a loophole that undermines the entire intent of online safety legislation, enabling not just underage access to restricted sites, but also creating a blind spot that criminals can exploit for far more serious offences.”
RED FLAG
In the property world, that “more serious” could mean identity theft, fake buyers and money laundering slipping through onboarding checks.
Mitchell warns: “If someone claims to live in the UK, uses a UK mobile number, yet is connecting via a VPN in another region, it should raise a red flag.
“Modern location-detection tools can spot these discrepancies. That’s the kind of intelligence that can make the difference between stopping a fraudulent account at sign-up and letting it become a vehicle for crime.”
SHORT-SIGHTED MINDSET
The tech to block VPN masking exists but many platforms don’t use it, worried it will cost money or scare off users. Mitchell says that mindset is short-sighted.
“If we want legislation like the Online Safety Act to truly protect people, it must be backed by technology that can keep pace with workarounds like VPNs. Without it, the risks to both users and businesses will only continue to escalate.”