AI-driven scams cause major financial losses in Australia
Scammers in Australia are using artificial intelligence to craft increasingly sophisticated fraud schemes, causing documented losses of nearly $187 million in 2026. AI enables the creation of convincing websites, fake endorsements, and personalized messages that bypass traditional detection methods, with investment scams, romance scams, and superannuation theft being the most costly.
What happened
Australians lost $186.9 million to scammers between January and August 2026, with AI increasingly used to make scams more sophisticated and convincing. Scammers use AI to create realistic websites, professional-looking logos, fake reviews, videos, and endorsements from people resembling celebrities, and to generate personalized messages.
Four in five Australian businesses have been reported as targets of scams, including business impersonation scams where criminals use AI to impersonate a business's online profile and presence. Superannuation savings are being targeted, with the average loss in superannuation-related scams reported as $88,736.
Reported impact
Investment scams took the greatest toll, costing Australians almost $96 million between January and August 2026, followed by romance scams at $17.7 million and account takeover or identity theft at $16.5 million. In South Australia alone, more than $6 million was lost to scams in 2026, including more than $3.5 million to investment scams.
AI has enabled scammers to create personalized messages triggering panic and pressure recipients to rush decisions, making scams harder to detect. Experts note that emails and messages are no longer obviously suspicious in appearance.
Index analysis
According to Scamwatch data, the 2026 losses of $186.9 million represent a $23 million decrease from the same period in 2025, suggesting some awareness efforts may be helping. However, AI sophistication is increasing the difficulty of detection despite some people becoming smarter about avoiding scams.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.