He added: “The British Retail Consortium estimates that 75 per cent of retailers are unaware that this is coming into effect in September and the same is the case with the consumers.The implementation of this is forecast to lead to failure of nearly a third of  e-commerce transactions.“So can I ask the minister whether she will ensure that no enforcement  action will be taken for at least 18 months to give our retail sector breathing space to adapt to these new rules?”Kelly Tolhurst, a business minister, defended the EU measures, saying they would protect consumers and online merchants.She said: “In 2016 there was £309 million in fraud in EU commerce vs £13.6 million in 1998.“The European Banking Authority published an opinion on readiness and implementation. The FCA published a statement in June. They are working with regards to mitigation past the September implementation. They are working with industry. They are working with providers to make sure the  essence of the changes prevails and that is making it safer for merchants and consumers.” Want the best of The Telegraph direct to your email and WhatsApp? Sign up to our free twice-daily  Front Page newsletter and new  audio briefings. Online shoppers face chaos and confusion with the introduction of anti-fraud measures which may lead to one in three purchases failing, City watchdogs have been warned.The measures, due to be brought in by the EU from September, will require shoppers to relay passwords sent to their mobile phone or other devices for orders over a certain limit.It means those without a mobile phone or whose signal is poor may have to use card readers or have a message sent to a landline telephone to complete a transaction.The rules, known as “strong customer authentication”, will apply to single transactions of more than £27. In a letter to the Financial Conduct Authority, which is implementing the change, groups which represent shops warned: “Confusion will lead to abandoned purchases, decline of valid transactions and poor customer experiences.”The letter added that three quarters of small online retailers do not have the correct software to allow so-called “two-step verification”.They are calling on the FCA to give them more time to get ready for the change, predicting a third of transactions could fail after September 14, when the measure comes into force.Chuka Umunna, the Liberal Democrat MP, urged the Government to do more to address the issue. Mr Umunna said he was “staggered the Government is not doing more about this ticking time bomb for online retail which is on track to cause major disruption”. 

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