Consumer Panel urges banks to seize the opportunity to change
22 October 2013
In a speech at today’s British Bankers Association (BBA) complaints seminar, the Consumer Panel’s Mike Dailly urged banks to seize the opportunity to deliver cultural change in order to rebuild trust and reconnect with consumers.
Dailly said: "Recent figures published by the FCA show a small decrease in consumer complaints about banks, but there is still a long way to go:
“Complaints to the Financial Ombudsman Service about current accounts, for example, rose by 34% between 2012 and 2013. Two-thirds of complaints about PPI are upheld by the Ombudsman, which shows a lot of banks are still trying to shirk their responsibilities to consumers”.
Dailly, who chairs one of the Consumer Panel’s working groups, went on to suggest that the way complaints were dealt with was a reflection of the health and governance of any organisation:
“Ultimately, consumers don’t want to complain in the first place, and it’s worth remembering that most people don’t complain, but they do share their bad experience with around nine people on average, so good complaints handling is essential to avoid reputational damage”.
The Consumer Panel believes that particular attention needs to be given to complaints in three areas: mis-directed payments; accounts that have wrongly been declared dormant; and accounts that have been forcibly closed by banks without explanation.
Notes to editors
- Mike Dailly’s speech to the British Bankers Association is available on our website
- Biographical details for Mike Dailly and photographs in a range of resolutions are available on our website
- The Consumer Panel is a statutory body under the Financial Services Act 2012. It was initially established by the Financial Services Authority in December 1998. The Panel advises the FCA on the interests and concerns of consumers and reports on the FCA's performance in meeting its objectives.
- The Panel’s membership is drawn from a broad range of backgrounds with expertise including market research, law, financial services industry, financial inclusion, European Regulation, financial regulation, consumer advice, campaigning, communications, compliance and later-life issues.
- The emphasis of the Panel's work is on activities that are regulated by the FCA, although it may also look at the impact on consumers of activities outside but related to the FCA's remit. More information about the Panel's work is available here