What is the Deliveroo refund scam and how does it work?

Fraudsters edit meal photos with simple AI tools to make food look undercooked, then submit those images to claim refunds. Some systems prioritise quick resolutions, so fake evidence can slip through. The issue raises costs, slows service if checks increase, and creates tension with restaurants who may bear some losses.

Why does this matter for investors in delivery apps?

Refund abuse can raise write-offs, support costs, and fraud provisions, reducing order-level margins. Tighter policies may add friction and risk lower conversion. The mix of cost pressure and potential churn can weigh on near-term performance until platforms refine verification and share liability fairly with restaurant partners.

What metrics should we watch to gauge the impact?

Focus on refund rates, chargebacks, fraud write-offs, and complaint handling times. Also monitor take rate stability, partner churn signals, and any commentary on packaging or verification pilots. These data points show whether fraud is contained without hurting order growth or partner satisfaction in the UK market.

Could stricter refund checks hurt customer experience?

Yes, added verification can slow resolutions and lead to more declined claims, which may frustrate honest customers. The aim is to target abuse without adding broad friction. Clear guidelines, faster reviews for repeat customers, and better handoff photos can reduce fraud while keeping service simple.

Global Market Insights

January 10: AI Refund Scams Put Deliveroo Margins and Policies at Risk

ByDanny Kontos January 10, 2026January 10, 2026

Reports in the UK say a Deliveroo refund scam using AI fake food photos is spreading, and it matters for investors. Fraudsters edit images to make meals look undercooked, then claim refunds. That raises costs, invites tighter checks, and risks friction with restaurants. We explain how the tactic works, what it could do to unit economics, and which policy moves to track in the coming weeks across Deliveroo and peers in the UK market.