Chip and PIN is a major finance and retail industry anti-fraud initiative. The introduction of Chip and PIN has been managed by the Chip and PIN Programme Management Organisation, and actively supported by Government.
Following a successful public trial, national roll out of the scheme began in October 2003 with the aim that by 2005 a majority of plastic card transactions should be Chip and PIN. The Chip and PIN programme announced in January that it reached all its 2004 targets for the roll out with customer research demonstrating that 71 per cent. of cardholders expect their next transaction to be Chip and PIN and 45 per cent. now using it for all or most of their card payments.
It is currently too early to assess the effects of Chip and PIN in preventing credit card fraud. The impact of Chip and PIN on card fraud is expected to be seen early in 2005 and hence will first be reflected in the APACS mid-year card fraud figures to June 2005, which will be available in the summer.