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Number of PPI mis-selling complaints falls again

Joanna Faith
Written By:
Joanna Faith

Complaints received about financial services firms fell in the first half of the year driven by a drop in payment protection insurance (PPI) related grievances.

Overall complaints decreased by 2.1% compared to the previous six months, according to data published by the Financial Conduct Authority (FCA).

Complaints about decumulation, life and pensions products rose by 20% to 73,055, while general insurance and pure protection complaints, which contains PPI related complaints, fell by 14% to 1.2 million.

When PPI is excluded, complaints continued to increase, this time by 12% to 1.3 million between the second half of 2014 and the first half of 2015.

This increase was mainly caused by a 22% rise in the number of complaints about banking and credit cards over the six months to the end of June and specifically by the advising, selling and arranging of these products which more than doubled from 133,922 in the second half of 2014 to 276,071 in the first half of 2015.

PPI complaints fell again, this time by 17% to 883,043 compared to the second half of 2014, continuing the trend since the second half of 2012.

The FCA’s director of strategy and competition, Christopher Woolard, said: “While the ongoing fall in PPI complaints is welcome, this is the second half-year running that we have seen complaints about banking products rise. It is clear that firms need to look at the causes for this rise and where necessary take action to address the causes of the trend.

“Ensuring good consumer outcomes should be at the heart of firms’ activities and we want to see complaints fall in the future as firms seek to ensure that consumers get the right products and services.”