FCA under MP pressure to face consumer negligence claims

The FCA's immunity from civil claims dates back to 20 years ago

clock • 1 min read

Consumers should be able to chase financial watchdogs like the Financial Conduct Authority (FCA) for damages if they lose money due to the regulators’ negligence, MPs have said.

Currently the FCA has immunity from such civil damages claims. But three MPs have proposed an amendment to the Financial Services and Markets Bill to change this, the Times reports. Consumers who allege they have lost money as a result of the regulator failing to stop banned activity, would be able to make a legal claim for their losses against the watchdog, under the amendment. The suggested change, which has been brought by MPs from the Scottish National Party, will be debated this evening. If the amendment passed, questions over how damages would be paid for would need to be ans...

To continue reading this article...

Join Professional Adviser

  • 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.



Already a Professional Adviser member?


More on Regulation

Honiton, Devon

FCA revokes passported Irish firm's temporary permissions

Wellington Court Financial Services cannot carry out regulated activity

Isabel Baxter
clock 09 October 2023 • 1 min read
Hove, East Sussex

FCA cancels permissions of Hove firm Albany Financial Consultants

Cancellation of Part 4A permissions enacted with immediate affect

Hope William-Smith
clock 01 September 2023 • 1 min read
Labour branded 'short-sighted' for vowing to battle lifetime allowance

Labour branded 'short-sighted' for vowing to battle lifetime allowance

Consultancy says attention on pensions is better spent elsewhere

Jonathan Stapleton
clock 13 April 2023 • 1 min read