FSA issues data security warning

The Financial Services Authority has urged firms to change their attitude to data security and do more to protect customers from identity fraud.

The plea comes this morning in an FSA review of systems and controls for data security at 39 firms including banks, building societies, insurance companies and financial advisers.

Philip Robinson, director of the FSA’s financial crime and intelligence division, says: “It is worrying that despite increased public awareness of the impact that identity theft can have on customers, many firms are still not taking this risk seriously.

“Customers have a right to be confident that firms are doing everything reasonably possible to keep their personal and financial details safe.”