Context
The FCA has published details of its Q1 2022 whistleblowing data, which shows the number of new whistleblowing reports it received between January and March 2022 and how the information was received. The FCA assesses every whistleblowing case it receives that falls within its remit, to inform its work and help it identify actual or potential harm. This could be harm to consumers, to markets, to the UK economy or to wider society.
Key points to note
- In Q1 2022 the FCA received 276 new whistleblowing reports, containing 540 allegations in total.
- Two thirds of the whistleblowers chose not to report anonymously
- The most common reporting medium used was the FCA’s online reporting form (120 of the 276).
- The top ten allegations reported were as follows:
- Fitness and propriety – 104
- Treating customers fairly – 70
- FSMA – 65
- Culture of organisation – 57
- Compliance – 38
- Fraud – 26
- Systems and controls – 25
- Unauthorised business – 19
- SYSC 18 – 18*
- Data security – 16
*SYSC 18 sets out the FCA’s rules and guidance for firms concerning their internal whistleblowing systems. Where we have categorised whistleblower allegations as “SYSC 18”, this refers to the alleged poor handling of a whistleblowing disclosure by a firm. Allegations would include harm to an employee or ex-employee, the lack of an appropriate speak up system or a failure of that system. The FCA’s Supervision division typically assesses reports about SYSC 18, with each allegation considered separately. Multiple reports about a firm may highlight a trend or indicate wider problems with its approach to staff ‘speaking up’ and blowing the whistle.
Next actions
None – for information and awareness.