Rise in consumer complaints to regulated finance firms

The number of consumer complaints against regulated finance companies has increased during the first six months of 2019 compared to the second half of 2018.

Data released by the Financial Conduct Authority (FCA) today shows that during the first half of 2019 there were 4.29m complaints compared to 3.91m during the second half of 2018. This rise was mainly driven by a 34% increase in the number of PPI complaints, from 1.58m to 2.12m. Overall, PPI continued to be the most complained about product, accounting for 49% of all complaints received during the first six months of 2019.

While PPI complaints increased, there was a 6% drop in the number of non-PPI complaints from 2.32m during the second half of 2018 to 2.18m during the first half of 2019. In fact, take out the PPI complaints and the first half of 2019 saw the lowest number of complaints firms have received since new reporting rules came into effect in 2016.

After PPI, the most complained about products were current accounts (14% of reported complaints), credit cards (8%) and motor and transport insurance (6%). Overall, excluding PPI, the average redress per complaint that was upheld increased from £175 to £200 between the second half of 2018 and the first half of 2019.