Financial Conduct Authority  

FCA under fire over handling of adviser tip offs

But Mr Townsend raised concerns the issues seen in this case were similar to those he had seen before, stating he was "yet to be reassured" the FCA has learned the lessons from earlier similar cases. 

He said: "I continue to have concerns about a lack of effective prompt action by the FCA in some cases.

"I also consider that the FCA could do more to explain and clarify its approach to these matters."

He added: "The fact that I have identified several cases in a very small number of complaints, in proportion to the FCA's overall work, suggests that this is more than an isolated event."

Mr Townsend said the action taken by the regulator to act on his recommendations so far was "welcome", but reiterated he would be monitoring the situation over the coming year.

In a response published by the FCA on June 4, the regulator said it continued to "monitor the effectiveness" of the steps it has already implemented. 

The FCA stated: "We will also review the information we provide to consumers and the wider public regarding the FCA’s approach to risk-based regulation, consumer detriment and allegations of fraud to ensure it is consistent with our current processes and that it sets the right expectations.

"We have apologised again to the complainant for the level of service provided during the investigation of the complaint and have made the recommended payment to the complainant."

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