Financial complaints increase

Complaints in the banking and insurance sectors have increased in the first half of this year, according to the Financial Ombudsman Service (FOS).

The rise in banking and credit complaints has driven the increase in grievances taken to the ombudsman. Mortgage and home finance complaints have edged up compared to the previous six months, while building and motor insurance complaints have also reached a five-year high, partly due to insurers delaying claim payouts.

The FOS received a total of 93,114 complaints in the first half of 2023, with banking and credit complaints making up a substantial portion of the increase. The FOS upheld 37% of complaints in consumers’ favour in the first half of this year. 

Banking and credit complaints have also risen substantially with fraud and scam cases making up around half of that increase.

Abby Thomas, Chief Executive and Chief Ombudsman at the Financial Ombudsman Service, said “Financial complaints have risen again, with cases particularly increasing in the banking and insurance sectors.”

“Given the economic challenges people are facing, it’s more important than ever that they feel protected. Whatever their grievance, consumers should expect fair and reasonable treatment from their provider.”