A recent survey from the FCA revealed that 27.7 million adults in the UK now have characteristics of vulnerability such as poor health, experiencing negative life events, low financial resilience or low capability. These factors often limit an individual’s ability to make reasonable decisions, putting them at greater risk of mis-selling.
In her latest press release, Nisha Arora, Director of Consumer & Retail Policy said:
Protecting vulnerable consumers remains a key focus for us and given the impact of the Coronavirus pandemic, it is more important than ever that firms get this right. The guidance being announced today will help ensure vulnerable consumers are treated fairly and achieve outcomes as good as other consumers.
While some firms have made significant progress, we want to see all firms across sectors taking steps to understand and respond to the needs of their customers, particularly those who are most vulnerable to harm.
Under FCA legislation, firms can expect to be asked to demonstrate how their business model, the actions they have taken and their culture ensure the fair treatment of all customers, including vulnerable customers.
If you need support with ensuring your business remains compliant with these guidelines — don’t hesitate to contact us at www.productpartnerships.com or 01274 921234