Adviser faces Ombudsman nightmare in 'highly significant' case

Advisers warned to factor in third-party communication delays after six-figure FOS case

Isabel Baxter
clock • 5 min read

An advice firm has faced an expensive “nightmare” FOS experience after a letter of advice slip up was exacerbated by communication mishaps with a third-party provider

In what has been hailed as a "highly significant ruling" for advisers, the Financial Ombudsman Service (FOS) has squarely placed the responsibility on firms to ensure they build in processes to deal with potential communication issues with third-party providers. Last December, Merseyside-based Tailored Financial Planning (TFP) found itself on the hook for more than £116,000 plus investment losses after a lapse in communication regarding a letter confirming advice had been sought saw a client's pension transfer value plummet. Adding to the business' woes and bill, its professional inde...

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 Companies

Schroders shareholders overwhelmingly greenlight Nuveen takeover

Schroders shareholders overwhelmingly greenlight Nuveen takeover

Seen as a foregone conclusion

Linus Uhlig
clock 17 April 2026 • 1 min read
Advice firm declared failed over pensions advice

Advice firm declared failed over pensions advice

Barfield Associates is no longer trading

Isabel Baxter
clock 16 April 2026 • 1 min read
Finli adds £252m in assets with six advisory buys

Finli adds £252m in assets with six advisory buys

Six deals completed in first quarter

Jenna Brown
clock 16 April 2026 • 1 min read