New report reveals serious and organised crime costs the Australian economy up to $82bn
Serious and organized crime cost the Australian economy up to $82 billion in 2023-24; This includes billions of dollars lost to the illegal tobacco trade.
The Australian Institute of Criminology (AIC) estimates $58.9 billion is lost to criminal activity and $23.4 billion is spent fighting and preventing crime.
The report estimates that illegal drug activity has dealt the biggest blow to the economy, costing Australia $19 billion.
Australians also consumed nearly $8 billion worth of methamphetamine and $2 billion worth of cocaine in the 2023-24 financial year.
The report found that the cost of financial crime was $13.2 billion and criminals were involved in tax and revenue crimes, including offshore tax evasion, misusing trusts to hide income, and setting up new companies to continue the business activities of liquidated companies to avoid paying debts.
The cost of a succession of criminal activities, including acts of violence, robberies, robberies, theft, arson, and fraud, is $10.9 billion.
Illegal commodities cost Australia $8.6 billion, with nearly half of that lost to the illicit tobacco trade. This figure was a significant increase from last year and excluded electronic cigarettes and e-cigarettes.
The cost of cybercrime is approximately $4.5 billion, the cost of crime facilitators is $1.5 billion, and crimes against individuals involving human trafficking and sexual exploitation of children are $1.1 billion.
The AIC attributed the 20 per cent increase in total costs to improved data but warned the figure was a “cautious underestimation of the actual losses to the Australian economy”.
An AIC spokesman said in the report that serious and organized crime often involves calculated, complex and financially motivated crimes committed by more than one criminal and a series of criminal acts committed over time.
“This report reveals the significant and widespread impacts of serious and organized crime on the Australian economy, including the lasting harm associated with illicit drug use, organized financial crime and cybercrime,” the report said.
“The billions of dollars spent by the public and private sectors alone to prevent and respond to serious and organized crime are funds that cannot be directed to health care, education, infrastructure and other societal resources.”
