First Data says the move comes on the back of research which shows that while banks acknowledge that greater co-operation is required in the fight against fraud, they feel constrained by data privacy laws, and worry about sharing sensitive information.

The survey of fraud experts from 52 banks across Emea found that the vast majority - 96% - believe that fraud is perpetrated on an international stage. Fraud methods are passed from region to region, which means the industry is able to anticipate how criminals will strike next and take preventative action.

But Jackie Barwell, director of fraud management, Emea, First Data, says banks are not yet sharing data at a level that will make a real difference to the struggle, despite acknowledging the importance of working together and with other agencies to combat fraud.

But Barwell warns that information sharing across the industry will become increasingly important with the introduction of the single euro payments area (Sepa).

"At a meeting held in Vienna earlier this month, clients gave us overwhelming support for an initiative to promote cross-border co-operation," says Barwell. "We are now actively engaged in seeking solutions that will enable the industry to collaborate as effectively as the fraud architects do today."

First Data says its research found that many banks feel "handcuffed" and efforts to combat fraud are constrained by fears of reputation damage. Furthermore, data protection legislation is also seen as a barrier to industry co-operation.

Over half of respondents (55%) also believe that regulation helps to combat fraud, but others, especially in Western Europe, are concerned that regulation may prove too restrictive.

Katy Worobec, head of fraud control at UK payments association Apacs, says: "Regulation may not allow for the changing face of fraud and may not incorporate the flexibility necessary to meet new developments. Fraud changes and migrates too quickly to have inflexible legislation around it."

Technology is a key weapon in the fight against fraud and a clear priority for over 50% of survey respondents. First Data says many organisations are focusing on improving ATM security and new ways of analysing data are under review, such as link analysis which helps banks to gain a "joined-up" view of fraud across the organisation.