Environmental impacts
Fraud and corruption against the public sector can lead to serious immediate, long-term or irreversible environmental harm through pollution and damage to ecosystems. This poses risks to our cultural values, natural resources and agricultural industry, and threatens the wellbeing of communities and future generations. Fraud and corruption can also lead to clean-up and maintenance costs, diverting funds from other priorities.
What impacts can look like
Environmental damage
Fraud and corruption can lead to increased pollution, loss of biodiversity and irreversible harm to ecosystems.
Health risks to communities
Communities may face serious health risks if unqualified organisations are awarded work, especially when people rely on projects being delivered safely. This is especially dangerous when projects involve infrastructure, water quality or hazardous materials.
Strain on public resources
Responding to environmental damage – through clean-up operations, legal action or restoration – can drain significant public funds and divert resources from other essential services.
Damage to environmentally responsible reputation
Fraud undermines trust in environmentally responsible initiatives. It can damage an organisation’s reputation and weaken public confidence in efforts to protect and improve the environment.
Key questions to consider
Understanding the broader environmental impacts of fraud means asking the right questions.
- If your programme was defrauded, what environmental impacts may result?
- Would there be any immediate environmental damage?
- Would there be any medium- to long-term environmental impact?
- Would there be any irreversible environmental damage?
- Could fraud lead to any clean-up costs or ongoing environmental maintenance costs?
- Could fraud in your programme undermine environmental initiatives?
Other impacts
Download the full guide
Explore the full resource to identify the impacts of fraud, read about real-world examples, and consider key questions to help assess and prepare for potential risks to your programme or operations. Not every impact will apply to every organisation or initiative, but being aware of them can help your organisation strengthen its fraud prevention efforts and protect those who rely on its services.
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Guide to impacts of public sector fraud (PDF 1 MB)
More information
- Check out our range of guidance and see where to start your counter fraud journey
- Find out more about the fraud triangle framework of pressure, rationalisation and opportunity
- Carry out a fraud risk scan to identify potential areas of fraud risk within your organisation
- There are a range of capability, prevention, detection and response countermeasures your organisation can put in place to reduce its fraud risk