Why do people cheat, and what actually stops them? A new study explored this question by looking at how people behave when dishonesty affects not only themselves, but also a group they belong to. Researchers asked more than 700 participants in the UK to take part in an online “tax reporting” game, where they could earn more money by misreporting information. The team tested different situations: some participants acted alone, while others earned rewards as part of a group. They also varied whether punishment targeted only the individual who cheated or the entire group.

Contrary to expectations, people were not more dishonest when working in groups, most likely because communication was not possible. The researchers also found that introducing a risk of punishment reduced cheating overall. Most strikingly, punishments aimed at the whole group were even more effective than penalties aimed only at individuals.

The findings suggest that social responsibility and concern for others may play a larger role in (un)ethical behaviour. Beyond the laboratory, the study offers insights for organizations, policymakers, and institutions seeking better ways to discourage fraud and promote cooperation. 

Zickfeld, J. H., Tønnesen, M. H., Elbæk, C. T., Oelrich, S., Cardarelli, T., Ścigała, K. A., Pfattheicher, S., & Mitkidis, P. (2026). The effect of individual and group punishment on individual and group-based dishonesty. Royal Society Open Science, 13(1), 252225. https://doi.org/10.1098/rsos.252225