FCA reveals 4,000 firms at risk of failure due to Covid-19

Mainly small and medium-sized outfits

Jenna Brown
clock • 3 min read

Some 4,000 regulated firms are at risk of failure due to the ongoing coronavirus pandemic and a third of those have the potential to cause harm if they go under, according to the financial regulator.

The statistics come from the Financial Conduct Authority's (FCA) coronavirus (Covid-19) financial resilience survey results published today. The surveys were sent to 23,000 solo-regulated firms to inform the FCA of the impact of coronavirus on firms' financial resilience. Executive director of consumers and competition Sheldon Mills said: "We are in an unprecedented - and rapidly evolving - situation. This survey is one of the ways we are continuing to monitor the potential impact of coronavirus on firms. A market downturn driven by the pandemic risks significant numbers of firms fail...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

Prospectus Reform: How the FCA is dealing with mini-bond scandal ghosts

Prospectus Reform: How the FCA is dealing with mini-bond scandal ghosts

Focused on retail investor access to corporate bonds

Cristian Angeloni
clock 17 July 2025 • 3 min read
Campaign group pushes for Leeds Reforms parliamentary inquiry and pause

Campaign group pushes for Leeds Reforms parliamentary inquiry and pause

Cannot forget lessons learned from 2008 financial crisis, founder urges

Jen Frost
clock 17 July 2025 • 3 min read
Rachel Reeves reveals 'most wide-ranging reforms' in Mansion House speech

Rachel Reeves reveals 'most wide-ranging reforms' in Mansion House speech

Includes redress changes and wholesale Consumer Duty review

Cristian Angeloni
clock 16 July 2025 • 3 min read