Since the introduction of mandatory Strong Customer Authentication (SCA), 73 per cent of retailers have reported a decline in online payment fraud, according to a new report by Barclaycard Payments.

SCA was introduced earlier this year by the Financial Conduct Authority (FCA) to help fight the £238.6 million of online fraud committed in the UK each year.

SCA requires shoppers to provide two-factor authentication to complete online purchases.

The report found that 63 per cent of retailers with an e-commerce channel believed SCA was having a positive impact on their business.

80 per cent of customers were reportedly happy to go through a more time-consuming checkout process in order to help protect their personal and financial details.

Since SCA was introduced in March, ‘cart abandonment’ was shown to have decreased from 32 percent to 29 per cent.

28 per cent of merchants still aren’t fully compliant with SCA, however, resulting in £2.7 million in sales being declined every day.

“While most business have adapted well to the new levels of security, it does remain concerning that so many are still yet to become fully compliant,” said Kirsty Morris, managing director of specialist sales at Barclaycard Payments. “Our data shows that businesses risk losing millions in revenue by not upgrading their systems, so it’s important they look to make the shopping experience as safe and smooth as possible for their customers.”

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