Complaints Commissioner publishes Annual Report

The 2025/6 report from the Financial Services Complaints Commissioner says there has been a clear shift in the nature and complexity of complaints received, and that an increasing proportion of investigations arise from complaints linked to the failure of authorised firms. Themes have included complaints relating to regulatory activity and decision making on mini-bonds, P2P lending and pensions, GAP insurance and motor finance.

Over the year, the Commissioner has closed 650 complaints, investigated 210 allegations of which 24 were upheld and made 34 recommendations of which the FCA did not accept 3 (although the FCA’s report says it only did not accept 2!).

Key themes have included:

• the FCA’s alleged failures in relation to firms both inside and outside the regulatory perimeter;
• the impact of confidentiality on the Commissioner’s ability to provide fully evidenced explanations to complainants;
• how and when the Commissioner can suggest compensation;
• many complaints from whistleblowers concerned that the FCA did not treat their reports as such and therefore may not have considered them carefully enough;
• complaints about market oversight, often showing misunderstanding of the extent of the FCA’s remit over listed entities;
• the FCA’s oversight of the FOS;
• Time bars;
• fee related complaints;
• vulnerable complainants;
• delays and deferrals on the FCA’s part in handling of group and complex cases; and
• consistent concerns about the FCA’s supervision of the P2P lending platform sector.