Credit, Collections & Insolvency News
The Financial Conduct Authority (FCA) has outlined new measures for Buy Now, Pay Later (BNPL) lending, which will aim to simplify information for borrowers whilst ensuring income checks and support for those in financial difficulty. Lenders must now be authorised and comply with the FCA’s Consumer Duty, ensuring clearer information on agreements and affordability checks.…
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Consumer confidence has now been negative for ten consecutive years, with the GfK index falling sharply again in January. Analysts describe a mood of resignation rather than panic, as inflation continues to outpace wage growth and households remain cautious. The prolonged pessimism is dampening entrepreneurial risk-taking and discretionary spending. The Consumer Confidence Index was up…
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New research by Hargreaves Lansdown has found that couples who plan together have an average of £328 left at the end of the month , £28 more than those where the one person plans alone and £101 more than those who leave it to their partner. The analysis shows that couples planning together have £3,145…
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Complaints to the Financial Ombudsman Service (FOS) fell to the lowest level in two years in Quarter 4 2025. Between October and December, the FOS received 47,300 complaints compared to 68,400 in the closing quarter of 2024. The decline comes after an overhaul of rules from regulators and the Treasury, which means professional representatives now…
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The Bank of England has announced that it has held interest rates at 3.75% following the first meeting of its Monetary Policy Committee of 2026. The Bank has voted by 5 to 4 to keep rates on hold at 3.75%. Four members voted to reduce the base rate to 3.5%, giving an indication of forward guidance. Commenting…
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The Financial Conduct Authority (FCA) and the Solicitors Regulation Authority (SRA) have warned claims management companies (CMCs) and law firms over excessive fees in motor finance commission claims. The regulators emphasised that firms must ensure consumers do not have multiple representatives and must charge reasonable termination fees.The FCA has also written to lenders setting out…
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Almost four in ten landlords plan to refinance buy-to-let property during the next 12 months, Paragon Bank research has revealed. The research, which covers Q4 2025, found that 39% intend to refinance throughout 2026, a figure that unsurprisingly increases in line with portfolio size. Over half (53%) of those with four or more buy-to-let mortgages…
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The Bank of England has announced the launch of its new Scale-Up Unit to support UK fintech firms, with OakNorth, Allica Bank, Clearbank, Zopa, Monument Bank, and Nottingham Building Society among the first cohort to be overseen by the regulatory initiative. This initiative, a collaboration between the Financial Conduct Authority and the Prudential Regulation Authority…
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Analysis of credit card data for November 2025 by global analytics software leader FICO has found that spending, balances and payments followed seasonal trends in the run-up to Christmas. However, while spending rose as expected during November, it was lower year-on-year, signalling continued pressure on household finances. Average balances resumed an upward trajectory as payment…
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Latest data from the Bank of England data has shown that net mortgage approvals for house purchase fell by 3,100 to 61,000 in December 2025. By contrast, approvals for remortgaging rose by 1,600 to 38,400 in December. Net borrowing of mortgage debt by individuals remained unchanged when compared to November at £4.6 billion in December. The…
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The Building Societies Association’s (BSA) latest Property Tracker survey, conducted in January 2026, shows that the barriers preventing would-be homebuyers from achieving their aspiration remain financial – raising a deposit (64%), affording monthly mortgage repayments (50%) and access to a large enough mortgage (45%) – rather than attitudinal. With the main obstacles tightly clustered around…
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The Financial Conduct Authority (FCA) has initiated a review into the impact of artificial intelligence (AI) on retail financial services. Sheldon Mills, an outgoing FCA executive, will explore how AI could reshape markets and consumer behaviour. While AI may enhance financial management, Mills warned of potential risks, including biased decision-making and increased fraud. AI is…
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Latest data from the Equity Release Council has found that the equity release market grew 11% in 2025, with total annual lending increasing from £2.3 billion in 2024 to £2.57 billion in 2025. More than a quarter of advisers responding to the Council’s latest survey (26 per cent) say customers are now using equity release…
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