Politics · United Kingdom · 17 hrs ago
Campaigners warn proposed ombudsman reforms could hinder consumer redress
Consumer groups warn proposed reforms could make it harder to get redress from financial firms.
The Financial Ombudsman Service can step in when a customer and a financial provider cannot resolve a complaint.
The service is free and can offer a route to compensation without going to court.
Campaigners fear more complex decisions and an initial presumption that firms are right could cause delays and add stress.
The Treasury says the changes would strengthen the service and make complaint decisions more consistent and predictable for customers and firms.
It says the ombudsman would remain independent and impartial, while the Financial Conduct Authority would continue to set and interpret regulatory rules.
Consumer campaigners and charities warn proposed changes to the Financial Ombudsman Service could make it harder for people to obtain redress from financial firms.
They say reforms could add complexity to complaint decisions and risk delays, stress and some consumers losing access to free, independent redress.
The Treasury rejects the claim that access would be restricted and says the reforms are intended to strengthen the service and improve consistency.
The Financial Ombudsman Service is free for consumers and can consider disputes when they cannot reach agreement with a financial services provider.
- Who
- Which? and a coalition of consumer organisations raised concerns. The Treasury supports the proposed reforms.
- What
- Campaigners warn proposed Financial Ombudsman Service reforms could hinder consumer redress; the Treasury says they will strengthen the service.
- When
- The Evening Standard article was published on November 9, 2026. The date the reforms were proposed is not stated.
- Where
- Not stated.
- Why
- Campaigners say the changes could complicate decisions and make redress slower or harder to access. The Treasury says they would bring greater consistency and certainty.
Consumer campaigners and charities
Treasury
Access to redress
Consumer campaigners and charities
The reforms risk making it harder for consumers to access free, independent redress.
Treasury
The reforms will strengthen the service, not weaken it, and will not restrict access.
Complaint decisions
Consumer campaigners and charities
More complexity and an initial presumption in firms’ favour could undermine a level playing field.
Treasury
The changes are intended to bring greater consistency and certainty in how complaints are handled.
Potential changes to the Financial Ombudsman Service were included in the Financial Services and Markets Bill.
Which? and a coalition of organisations warned the changes could make it harder for consumers to obtain redress.
The Treasury said the reforms would strengthen the service and provide greater consistency and certainty.
- Service
- Financial Ombudsman Service (FOS)
- Bill
- Financial Services and Markets Bill
- Publication date
- November 9, 2026
- Campaigning organisations
- Which?, Money Saving Expert, Citizens Advice, Age UK, Surviving Economic Abuse, StepChange and Fairer Finance
What people are saying
For millions of families walking a financial tightrope, the Financial Ombudsman is an essential lifeline that stands between them and big business when something goes wrong.
These reforms will strengthen the Financial Ombudsman Service, not weaken it.
The ombudsman will remain independent and impartial in resolving disputes, while the changes provide greater consistency and more certainty for both consumers and firms.