Firms made to publish complaints data
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Firms will have to publish information on how they handle complaints under new rules being brought in by the Financial Services Authority.
Firms that receive 500 or more complaints in a six-month period will have to release data twice a year showing how many complaints they have opened and closed, the percentage closed within eight weeks, and the percentage of complaints upheld.
All affected firms will have published their first figures by August 31.
The regulator says that this will help it to see how firms are handling complaints and will improve complaints handling standards across the industry.
Firms will need to present this information according to five product areas: banking, home finance, general insurance and pure protection, life and pensions, and investments.
The FSA will then use this information to publish a consolidated list of complaints data covering all affected firms twice a year.
Its first set of consolidated data in will be published in September.
Sheila Nicoll, director of conduct policy at the FSA, says: “We are committed to greater transparency where this will help consumers.
“For the first time, people will be able to see how many complaints particular firms receive and how they handle them.
“We believe that this will help improve how firms treat their customers and provide incentives for firms to deal more effectively with complaints when they are received.
“Our more intensive approach to supervision places a greater focus on assessing how firms deal with their customers – and how firms handle complaints is a key part of this.”
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