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FCA publishes the findings of its review of rules extending SME access to the Financial Ombudsman Service

Oct 27, 2023 | FCA

Link(s):Review of rules extending SME access to the Financial Ombudsman Service | FCA FS23/5: Review of rules extending SME access to the Financial Ombudsman Service | FCA FS23/5: Findings of review of rules extending SME access to the Financial Ombudsman Service (fca.org.uk)

Context

The FCA has published a statement regarding the introduction of the FCA rules extending access to the Financial Ombudsman Service for more small and medium-sized enterprises (SMEs) in 2019. The FCA has concluded its review of their appropriateness.

Key points to note

At present, SMEs are able to access the ombudsman service if they have a turnover of less than £6.5 million and fewer than fifty employees, or a balance sheet total of less than £5m. These thresholds cover 99% of the 5.6 million private sector businesses in the UK. The FCA has decided that this level of coverage remains appropriate and that it would not be proportionate to extend access to SMEs larger than the current criteria.

Next actions

None – for information and awareness.