With the new Consumer Duty set to take effect next week, the Financial Conduct Authority (FCA) has revealed that 7.4 million individuals attempted to contact one or more financial services providers in the year leading up to May 2022 but were unsuccessful.
This statistic is drawn from the FCA’s most recent Financial Lives survey, which included over 19,000 participants. While 3.6 million were able to reach their provider, they reported not receiving the information or support they needed. Additionally, 4.3 million individuals received the information they sought but found it difficult to understand or received it too late.
These findings emerge just days before the implementation of the Consumer Duty, which mandates that firms prioritize positive outcomes for consumers through effective and responsive customer service, ensuring that communications are clear and comprehensible.
The FCA has indicated that it will take serious action against firms that fail to comply with these standards, warning of “robust” enforcement measures and disciplinary actions.
Sheldon Mills, executive director of consumers and competition, stated: “Our Consumer Duty will guide our ongoing work to enhance the way firms provide customer support—being able to contact your provider is the first step in receiving help, and we are committed to working with firms to improve this aspect.”
Furthermore, the FCA’s survey highlighted a growing trend toward digital banking, with nearly nine in ten adults (88% or 42.9 million) utilizing online banking or mobile apps in 2022, an increase from 77% in 2017.