For the second year, a Verizon report has found that too many retailers that are struggling to comply with payment card security standards, putting consumer’s confidential information at risk.

According to the Verizon payment card industry compliance report, retailers that accept credit or debit cards struggle to achieve and maintain compliance with the Payment Industry Security Standard (PCI DSS), which means they are increasing their chances of falling victim to credit card fraud and data breach.

The report found that only 21 per cent or organisations were fully compliant during the initial audit but breached retailers are more likely to not be PCI compliant and are more likely to suffer from identity theft and fraud issues.

Wade Baker, Verizon director of risk intelligence, said it’s necessary for retailers to create a credit card safe environment for both themselves and consumers.

“We had hoped to see more organisations complying with the PCI standard, since we believe that compliance will ultimately improve the security posture of organisations and in all likelihood lead to fewer breaches,” he said.

Businesses failing to maintain compliance face steep penalties, including fines and increased transaction fees from the credit card brands. 

Businesses also now face pressure from their partners and customers to demonstrate continued compliance.