The Financial Ombudsman Service opened 57,000 cases in the second quarter of 2026/27 as complaints about banking and payments, consumer credit, insurance, fraud and scams all ose.
There were around 3,400 more complaints in the second quarter than in the first three months of the year.
Complaints about products including investments and pensions climbed to 27,500, up 400 from 27,100 in the previous quarter and a jump from the 23,900 recorded in the same quarter last year.
Investment platform Hargreaves Lansdown received the most investment complaints at 204, followed by Trading 212 UK Ltd with 176, slightly higher than the 170 complaints received about wealth manager St James’s Place.
Other firms which attracted more than 50 complaints about investments included Interactive Investor Services with 89, Etoro with 62, Aviva Life & Pensions with 60, and Interactive Brokers UK Ltd with 54.
On the pensions side, nine firms attracted more than 100 complaints. Aviva Life & Pensions had 324, while close behind was Phoenix Life with 323. St James’s Place had 200 complaints about pensions sent to the Ombudsman, while ReAssure Ltd had 195 and Scottish Widows had 194.
True Potential had 179 pension complaints. Others topping 100 were Prudential with 159, Hargreaves Lansdown with 120, and Scottish Equitable on 107.
Top 5 most complained about products in Q2 2026/27
| Q2 2025/26 | Q1 2026/27 | Q2 2026/27 |
Current accounts | 7,900 | 8,900 | 10,300 (16%) * |
Credit cards | 4,700 | 5,800 | 6,400 (10%) * |
Hire purchase (motor) | 4,900 | 5,600 | 6,300 (13%) * |
Car or motorcycle insurance | 3,200 | 4,100 | 4,400 (7%) * |
Personal loans | 1,700 | 2,100 | 2,100 (N/A) * |
Other products | 23,900 | 27,100 | 27,500 |
* Percentage increases in brackets are between Q1 2026/27 and Q2 2026/27. Source: FOS
Current accounts remained the most complained-about product in the quarter, with 10,300 complaints, more than half of which related to suspected fraud and scams. Credit cards ranked second, with 6,400 complaints about issues including irresponsible or unaffordable lending, customer service and Section 75.
Car and motorcycle insurance remained a leading issue, with 4,400 complaints between July and September. Complaints were mostly about claim value, alongside customer service and claim liability.
Several wider factors may be contributing to the overall increase in complaints, including cost-of-living pressures and the growing use of AI tools by consumers using the service, the Ombudsman said.
James Dipple-Johnstone, Chief Ombudsman at the Financial Ombudsman Service, said: “We’re working with industry and regulators to understand rising complaints about everyday financial products, including the impact of cost-of-living pressures. Changes in how complaints are raised – including through AI tools – may also be playing a role.
"We’ll continue to share the insight we see through our casework, helping firms identify emerging problems sooner and resolve customer issues before they escalate.”
Excluding complaints about motor finance commission, 31% of cases resolved in the quarter were upheld, broadly consistent with previous quarters. The overall uphold rate was 27%, which is low because it continues to be affected by the closure of groups of motor finance commission cases that the FOS determined will not succeed following legal developments.