This data shows the number of financial promotions that have been amended or withdrawn due to non-compliance with Financial Conduct Authority (FCA) rules for 2021 Q2.
The FCA undertake many reviews of firms’ financial promotions, which are identified through multiple sources including both consumer and firm referrals. They look at every financial advert reported to them. Where they conclude that an advert is in breach of the rules, the FCA ask the firm which has communicated or approved it to withdraw the advert, or change it so that it complies with the requirements. They may also ask firms to consider whether any customers may have acted on the basis of non-compliant promotions and to take appropriate action to remedy any harm which consumers may have suffered as a result.
The FCA realise the need for greater transparency over the non-compliant financial promotions outcomes, so from 2021 they started to publish this data quarterly.
This data includes statistics about how the FCA review and act on certain non-compliant financial promotions.
In Q2 of 2021 they reviewed 439 financial promotions, which includes promotions identified through both complaints they’ve received and the proactive work they have performed to ensure promotions meet the requirements of the rules, including that they are fair, clear and not misleading.
- 48% of reports we received from consumers
- 28% of reports we received from internal areas of FCA
- 13% of reports we received from UK Regulators
- 6% of reports related to our proactive monitoring
- 3% of reports we received from firms
- 2% of reports we received from other sources
During this time 34 cases resulted in 84 promotions being amended or withdrawn through our interaction with authorised firms.
Figure 1 shows how the cases in 2021 Q2 which have resulted in a promotion being amended/withdrawn are spread across a number of sectors.
Figures rounded to the nearest percentage.
*The above cases do not relate to unauthorised firms that have not had their promotions approved. For details relating to how the FCA have tackled consumer harm for unauthorised firms in the investment market please see Consumer Investments Data publication.
- 88% of the amend/withdraw outcomes related to either website or social media promotions.
Note: FCA casework with firms will usually involve confidential information for the purposes of section 348 of the Financial Services and Markets Act 2000. The FCA is therefore unlikely to be able to provide further information about particular cases. Find out more about the information they can share.
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