Sesame tops Fos adviser list of shame

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Sesame tops Fos adviser list of shame

Sesame has remained the intermediary business the Financial Ombudsman Service receives the most complaints about.

One hundred complaints were made against Sesame during the first half of this year, with the ombudsman ruling the Aviva-owned intermediary was in the wrong on 19 occasions.

This was an improvement on the latter half of 2016 when the ombudsman received 104 complaints and ruled against Sesame on 23 per cent of these occasions.

St James's Place Wealth Management, which topped Financial Adviser's Top 100 list of intermediaries in 2016, was the second most complained about advice business.

SJP received 72 complaints in the first six months of this year with the ombudsman upholding 18 per cent of these cases.

Openwork was the third most complained about advice business and saw a spike in calls for compensation due to the actions of a lone adviser back in 2010, according to the restricted intermediary's bosses.

Once again the volume of complaints received against intermediary businesses was dwarfed by the number made against banks and pension providers.

Barclays received 305 investment complaints and the ombudsman ruled against the banking giant in 52 per cent of these cases.

Santander received 213 investment complaints while Lloyds had 201. Both saw 24 per cent of complaints ruled in the customers favour.

The Financial Ombudsman Service's latest six-monthly complaints data relating to banks, insurers and other financial businesses showed the ombudsman took on a total of around 170,000 new cases in the first six months of this year. 

This represented a 13 per cent increase in complaint figures when compared to the last six months of 2016 and reflects increases in almost every product sector including PPI and banking. 

Almost two thirds of the complaints received in the first six months of this year came from just 10 businesses.

PPI continued to be the most complained about product with almost 90,000 complaints making up more than half of all complaints.

Complaints about banking and credit increased by 12 per cent to around 47,000 and within this consumer credit complaints are up by almost a fifth to nearly 15,000.

A total of 245 businesses featured in the complaints data for the January to June period [13 for the first time]. 

Most of the businesses named in the complaints data for the first time operate in the consumer credit sector. 
 
Caroline Wayman, chief ombudsman and chief executive of the Financial Ombudsman Service, said: "We've seen more complaints about most types of financial products in the first half of 2017. 

"The FCA has just launched its communications campaign, which highlights that consumers have until August 2019 to make a complaint about mis-sold PPI.

"While we still don't know what impact this will have on our workload, today's data shows that PPI complaints are already increasing."

emma.hughes@ft.com