Tool theft cost tradespeople £98 million in 2023

Tools worth £98 million were stolen from tradespeople in 2023 according to new analysis by Direct Line business insurance. In total, 44,514 incidents of tool theft were reported to police forces in 2023, a 5% increase from 2022, which equates to a tool theft reported every 12 minutes.

BBC Breakfast recently covered this problem, reporting that 78% of tradespeople have had tools stolen, worth on average £2,200.60, and 80% people with stolen tools lost out on work.

Direct Line’s research found that last year saw 24,543 reports of tool theft from a vehicle, up 14% from the previous year, accounting for over half (55%) of all tool thefts in 2023. This comes even though 94% of tradespeople are taking extra precautions to secure their tools, with tradespeople spending on average £626 retrofitting their vans with additional security including additional locks, drill plates, trackers and alarms. Over half (56%) of tool thefts from a vehicle occur at night, with thefts most commonly occurring while the vehicle is parked overnight at the tradespersons home or in a carpark.

Tool theft has a massive financial impact on tradespeople. As well as the cost of replacing tools, 83% say they lost business because of the theft and not having their tools to work. Tradespeople reported losing work worth an average £1,836 the last time their tools were stolen, meaning an estimated £82 million worth of jobs were lost by trades in 2023.

London’s Metropolitan Police accounted for over half (54%) of all tool theft, but when the size of the local population is assessed, Cleveland police had more tool thefts per resident than London.

Tool theft according to the data is seasonal, typically peaking after the clocks go back in October, with 4,517 thefts in this month last year, usually hitting a low in April when the clocks move forward. The same pattern is visible for tool theft from vans, with a peak of 2,511 in October 2023, compared with 1,632 in April.

Dr Kate Tudor, criminalist and associate professor at the University of Durham, says: “Tool theft is a huge issue, both in terms of the frequency with which it occurs, and because of the devastating impact it has on those affected by it. Those involved in tool theft are increasingly organised and sophisticated in their criminality, and they continued to be involved because of the significant financial rewards they generate. I therefore hope this research can help support conversations around what can be done to prevent tool theft in the first instance, but also how protection might be afforded to tradespeople by closing down opportunities for the sale of stolen goods.”

Jonny McHugh, head of small business insurance at Direct Line, adds: “Replacing tools is costly, takes time and vans will often need to undergo substantial repairs following a break in, meaning tradespeople are off the road and unable to work. The rise in these thefts means that it’s more important than ever that tradespeople take precautions to help keep their tools safe and deter thieves, as well as making sure they have the correct insurance to help deal with the consequences if a theft does occur.”

Gary Ross, founder & CEO of blip, a small business insurance provider, comments: “Each stolen tool represents hours of hard work and investment, hurting the foundation of small businesses and hitting the pockets of tradespeople during a cost-of-living crisis. Growing up with family working in the trades I know firsthand the toll it can take mentally and physically, add the stress of having your tools stolen when you have deadlines to meet and it can be truly ruinous. It’s time we address this epidemic as an industry, providing quick solutions to get tradespeople back on the tools and support those who build our communities.”

For more information about Direct Line’s tradesperson tools cover, please visit the website: https://www.directlineforbusiness.co.uk/public-liability-insurance/insurance-for-tools