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FOS to publish 400 upheld complaints every week

The Financial Ombudsman Service will publish the details of 400 upheld complaints a week when it starts making decisions public under the new regulatory framework, according to law firm CMS Cameron McKenna.

The draft Financial Services Bill, published in June, sets out the Government’s intention to require the FOS to publish final decisions. The FOS is consulting on how this should be put into practice, with final policy expected next year.

Speaking at the Personal Finance Society annual conference in Birmingham last week, CMS Cameron McKenna partner Simon Morris said the decisions published by the FOS will provide a standard for firms to measure themselves against.

He said: “It is likely that in 18 months time, the FOS will publish every single case that is upheld and it is thought there will be about 400 a week. Anybody in a larger firm will have to hire a full-time person whose job will be to look at the ombudsman’s website and the 80 upheld complaints that have come out that day and see what those complaints have to say about how firms handle complaints.”

Morris said as firms will have to increasingly report more details about complaints to the Financial Conduct Authority, they will have to pay close attention to the transparency of their complaint-handling processes.

Final rules on complaint data, published by the FSA last week, require firms to log upheld complaints that relate to redress of £50,000 or more against advisers’ individual reference number.

Highclere Financial Services partner Alan Lakey says: “Firms with larger levels of complaints would want to monitor FOS decisions but presumably they should be monitoring their own complaint data to see where they can improve anyway.”

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Comments

There are 3 comments at the moment, we would love to hear your opinion too.

  1. Apart from the nature of the complaints, it will be interesting to see just which firms and which types of firms are responsible for the largest proportion of them. 1.5% or less against IFA companies and, bearing in mind the findings of the recent Which? mystery shopper exercise, the rest……………..?

  2. David Trenner - Intelligent Pensions 18th November 2011 at 11:43 am

    This suggests that in future FOS will follow precedent, which they do not do at present. The down side of this is when they get one wrong (and my understanding is that this does happen from time to time ….) they will then get other similar cases wrong.

    On pensions cases FOS do not pay enough to employ anyone who knows enough of the technicalities, so that they are left to box ticking. Maybe the publication of cases will enable them to see that they need to buy in technical advice for pensions and other complex cases.

  3. I wonder when there will be a site where we can highlight the numerous errors that the FOS make. My examples would be for example, complaints they change the complaint to investigate when they don’y have jurisdiction on the actual complaint made, When they insist on accepting cases prematurely, before 8 weeks have elapsed, when they can’t get the basic chronology of a case right let alone make an informed decision on a case, when they ignore CoB rules in making their judgements – to name but a few!
    When will the complained about get a fair chance to a truly impartial review.

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