Less than half (46%) of complaints submitted to financial services firms are resolved within three days, according to analysis of FCA data.
Over one in 20 complaints (6%) take more than eight weeks to be resolved - a breach of FCA complaint rules, according to FCA data analysis from complaints solution provider Huntswood.
Under FCA Handbook rules, firms regulated by the FCA have eight weeks to provide a final response or a formal holding response explaining why more time is needed to address the complaint.
Firms must resolve a complaint by the close of business on the third day in order to be able to benefit from the fast resolution rules under which they can send a Summary Resolution Communication rather than a formal final response.
The Huntswood analysis showed that the best-performing financial services firms resolved 94% of opened complaints before three days.
Firms in the pensions, protection and investment sectors were among the worst performers in terms of their speed of complaints handling.
James Tattersall, senior director, advisory at Huntswood, said: “Complaints resolution is absolutely critical for customers who want to see their issue dealt with in a timely manner and if the resolution drags on that will only add to their disillusion with the provider. Firms need a strategy to avoid that wherever possible while also ensuing the complaint is dealt with properly.”
There were 299 complaints about investment advice products resolved in 2025/26 by the Ombudsman, with an uphold rate of 44%.
The Financial Ombudsman Service has previously said that it expects to receive complaints related to the FCA’s new Targeted Support regime in the 2026/27 financial year.
The FOS budget document hinted that the FOS expected a considerable number of Targeted Support complaints. It said: “We will be able to look at complaints about this service from early 2026/27, however we do not expect to start seeing a significant number of complaints in relation to this type of advice straight away due to the nature of investment advice.”
Legislative changes to the way the redress system and the FOS operate are progressing through Parliament in the Financial Services and Markets Bill.
• Huntswood analysed FCA aggregate complaints data from the second half of 2025.