FCA reviews 514 financial promotions in Q3 2021
The UK Financial Conduct Authority (FCA) has published the latest data showing the number of financial promotions that have been amended or withdrawn due to non-compliance with the FCA rules for the third quarter of 2021.
Let’s note that the FCA undertakes many reviews of firms’ financial promotions, which are identified through multiple sources including both consumer and firm referrals. Where the regulator concludes that an advert is in breach of its rules, it asks the firm which has communicated or approved it to withdraw the advert or change it so that it complies with the FCA requirements.
The FCA may also ask firms to consider whether any customers may have acted on the basis of non-compliant promotions and to take appropriate action to remedy any harm which consumers may have suffered as a result.
In the third quarter of 2021, the FCA reviewed 514 financial promotions, which includes promotions identified through both complaints the regulator has received and the proactive work it performs to ensure promotions meet the requirements of its rules, including that they are fair, clear and not misleading.
During this time 26 cases resulted in 74 promotions being amended or withdrawn through FCA’s interaction with authorised firms. This compares with 84 promotions being amended or withdrawn in the preceding quarter.
The regulator notes that 69% of the amend/withdraw outcomes related to either website or social media promotions.