FCA Financial Promotions Quarterly Review

In our first of the series on regulatory smarts, we alert you to the quarterly financial promotion release issued by the FCAIf you have not had a chance to review yet, every quarter the FCA releases information around financial promotions affecting the regulated financial industry.

The FCA released its last quarterly download (April) on financial promotions across the financial industry. In its release, it reviewed 441 financial promotions, identified via complaints or investigative work to ensure promotions are fair, clear and not misleading.

As a reminder

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• Financial promotions or adverts are likely to be the way consumers become aware of your financial services and products.
• They can take the form of a website, leaflet, social media post etc
• The FCA regulates advertising for most financial services from loans, bank accounts to claims management
• The FCA sees financial promotions as a significant influencer of consumers’ decisions when selecting a product.
• If an advert breaches regulatory rules, you can be asked to withdraw or change the advert to comply with FCA requirements

How does this affect you?

• As financial promotions are viewed as influencing a customer’s decision when choosing a product, it is vital any promotion you issue are fair, clear and not misleading
• As a reminder dependent on your type of business you could be subject to relevant FCA handbook rules
• Consumer credit: CONC
• Retail investments: COBS
• General insurance: ICOBS
• Mortgages: MCOB
• Banking: BCOBS
• Claims management: CMCOB

The team at MEMA has vast experience in dealing with reviewing and affirming compliant financial promotions. Reach out to us for any questions you may have on financial promotions.