Complaints to financial firms reached a record level in the first half of this year, new data from the City watchdog has revealed.
The Financial Conduct Authority reported that complaints increased for the fourth successive half-year period to hit 4.13 million, a 10 per cent increase compared with the previous six-month period.
Complaints were made to 3,161 firms, however, 98 per cent of the total number of complaints were made to just 235 firms.
Payment protection insurance continued to be the most complained about product, accounting for 42 per cent of all grievances, followed by current accounts, at 15 per cent, then credit cards, at 8 per cent.
PPI complaints have increased in recent months ahead of next year’s deadline for claims, in part due to the regulator’s efforts to remind consumers of the looming deadline for complaints about PPI, with a series of adverts featuring an animatronic Arnold Scharzenegger head.
Christopher Woolard, executive director of strategy and competition at the FCA, said: “Firms need to be doing all that they can to reduce complaints. It is clear that firms need to look at the cause of the rise in complaints and address these issues to prevent further increases.
“It should be a priority for firms to ensure good consumer outcomes are achieved and they should be making sure that they are taking the right steps to treat customers fairly.
“We are encouraged to see that figures are showing that more consumers are making a decision on whether to complain about PPI.”
