In a tacit admission that previous policies for tackling online fraud and cyber crime have not worked, a joint report by the Home Office and the Cabinet Office vows to hone in on cybercrime.

The 'Extending our reach: a comprehensive approach to tackling serious organised crime' report says much tighter coordination between departments is needed to keep a grip on organised crime.

"To combat the e-crime threat, the Home Office, supported by the newly created Office for Cyber Security in the Cabinet Office, will lead an urgent review of the governance, roles and responsibilities for e-crime, and publish a refreshed e-crime strategy by December 2009," the report said.

The strategy will look at how the government works with the private sector and foreign governments to build a proper picture of crime. Organised crime, including cybercrime, costs the UK £40 billion (US$65.7 billion) every year, according to official figures.

But the government admitted that cross-departmental actions on e-crime were lacking, and that there was some confusion on how to fight the problem. It said it needed to have "a clearer cross-government strategy on international serious organised crime".