AI gives fake shops a convincing new face

Criminals are using artificial intelligence to create convincing online shops, fabricated business histories and reassuring storefront images, making it harder for consumers to distinguish genuine retailers from fraudsters.

Some websites claim to represent family-owned businesses selling quality British-made goods, supported by images of traditional high streets and Union Jack flags.

But customers may receive cheap, mass-produced imports or nothing at all, the BBC’s cost-of-living correspondent Kevin Peachey reported, citing trading standards officers.

The warning follows the publication of an AI Scam Watchlist by Britain’s National Trading Standards, highlighting how criminals use generated images, cloned voices, manipulated videos and fake reviews to strengthen familiar fraud schemes.

The organisation said AI was making shopping, investment, romance and holiday scams more convincing and easier to conduct on a large scale.

Research commissioned by National Trading Standards found that 47% of UK adults believed it was becoming harder to establish what was genuine online. The survey of 2,000 adults was conducted in September.

Consumer organisation Which? warned that spelling mistakes and poor grammar were becoming less reliable indicators of fraud because AI could produce polished, persuasive material.

National Trading Standards urged consumers to pause before paying, resist pressure to act urgently and independently verify businesses before sharing money or personal information.

A professional-looking website or realistic photograph should therefore be treated as a starting point for checking a retailer, rather than proof of its legitimacy.

Sources: BBC News, Kevin Peachey, 19 October 2026; National Trading Standards, AI Scam Watchlist announcement, 30 September 2026, & SME Insights.