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FCA publishes firms’ complaints data for January to June 2023

Oct 20, 2023 | FCA

Link(s):Complaints data | FCA    About our complaints data | FCA    Aggregate complaints data: 2023 H1 | FCA    Firm specific complaints data | FCA Opened complaints | FCA    Closed complaints | FCA    Complaints upheld | FCA    Redress paid | FCA

Context

The FCA has published the firm complaints data that it collects.  The data relates t the first half of 2023 (January to June).  The web pages published include an introduction to the publication, an overview, the aggregate data and firm specific data, and data in relation to the numbers of complaints opened, closed and upheld and the amount of redress paid.

Key points to note

  • The firm-specific complaints data set is composed of submissions from approximately 290 individual firms reporting either 500 or more complaints within a 6-month period, or 1,000 or more complaints annually.
  • In 2023 H1, financial services firms opened 1.88m complaints, an increase of 5% from 2022 H2 (1.80m).
  • The insurance and pure protection product group saw an increase of 6% in their opened complaint numbers from 2022 H2 to 2023 H1.  Decumulation & pensions (20%), and investment (18%) showed the highest increases.
  • Since 2016 H2, current accounts have remained the most complained about product (perhaps understandable as a current account is likely to be amongst the most common financial services products held by UK individuals). The number of current accounts complaints opened increased, from 500,371 in 2022 H2 to 509,923 in 2023 H1 (2%).
  • Noticeable increases in opened complaints can be seen in motor & transport (up from 238,009 in 2022 H2 to 278,034 in 2023 H1 – 17%), property (up from 86,150 in 2022 H2 to 92,091 in 2023 H1 – 7%), and savings (including ISAs – up from 69,373 in 2022 H2 to 85,315 in 2023 H1 – 23%).
  • The percentage of complaints upheld increased from 60% in 2022 H2 to 61% in 2023 H1. Excluding 2022 H2, the percentage of upheld complaints has been steadily rising since 2019 H2.
  • Redress payments went up by 4% from £228m in 2022 H2 to £236m in 2023 H1, but this is 22% below the 2022 H1 figure of £304m. This year-over-year decline is largely due to a 75% decrease in the redress paid for payment protection insurance complaints, decreasing from £32m in 2022 H1 to £8m in 2023 H1.
  • Home finance products have the highest figure for opened complaints per 1,000 products sold of 6.8 in both 2022 H2 & 2023 H1 (figure 2).

Next actions

None – for information and awareness.