FCA: Firms must understand and act to help financially vulnerable

Regulatory guidance

clock • 5 min read

The FCA suggested firms use market research to inform a good understanding of the risks of harm for vulnerable clients

The Financial Conduct Authority (FCA) has outlined how firms should better understand vulnerable customers and how businesses must act to improve outcomes for those clients. The guidance, published on Tuesday, aimed to drive improvements in the way firms treat vulnerable customers. It found that 27.7 million adults in the UK now have characteristics of vulnerability. This includes poor health, experiencing negative life events, low financial resilience or low capability. Firms should understand what harms their customers are likely to be vulnerable to and ensure that customers in v...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

CII calls for new approach to vulnerability data sharing

CII calls for new approach to vulnerability data sharing

Many firms displaying “excessive caution”

Jaskeet Briah
clock 25 June 2025 • 2 min read
IPT receipts hit £1.48bn in May 2025

IPT receipts hit £1.48bn in May 2025

Up £50m year-on-year

Jaskeet Briah
clock 20 June 2025 • 2 min read
Sarah Pritchard named FCA's deputy CEO

Sarah Pritchard named FCA's deputy CEO

Promoted to the newly created role

Jenna Brown
clock 11 June 2025 • 1 min read