The FCA has raised concerns about Moneysupermarket.com adverts which made claims about how much money its comparison service could save people compared with rivals.
The regulator says adverts Moneysupermarket.com ran between August and October did not meet principle seven of its principles for business. Moneysupermarket.com has agreed to publish a statement on the home and car insurance pages of its site for four weeks highlighting the FCA’s view that the adverts “did not fully meet the standards it expects for such advertisements”.
The FCA says the adverts gave the impression Moneysupermarket.com was cheaper than rival comparison sites 50 per cent of the time when it fact the firm’s own data shows it is cheaper in around 34 per cent of quote searches.
Moneysupermarket.com has agreed not to publish or broadcast the adverts in the same way in future.
The statement reads: “The FCA considers our recent advertising campaign did not fully meet the standards it expects for such advertisements. The FCA is concerned the adverts created an incorrect overall impression that Moneysupermarket is cheaper than other leading comparison sites more than 50 per cent of the time.”
Moneysupermarket.com chief executive Peter Plumb says: “I am pleased that having worked with the FCA we are clear how to communicate the important message of lower prices in 2014.”
Your Mortgage Decisions director Dominik Lipnicki says: “Comparison sites make selective claims. It is not always made clear that they do not have access to all products whereas advisers need to make it clear if they are whole of market so the FCA also needs to look into this.”