Financial Conduct Authority (FCA) — Complete Guide
The rulemaker for UK financial services. This is the plain-English guide to what the FCA does, the Consumer Duty, the COBS suitability rules that most mis-selling claims rely on, and how to escalate a complaint.
Quick Answer: The Financial Conduct Authority regulates ~50,000 UK financial firms. It sets the rules (COBS suitability, Consumer Duty 2023) but does NOT resolve individual complaints — those go to the Financial Ombudsman (firm still trading) or FSCS (firm in default). Always check the FCA Register (register.fca.org.uk) before dealing with any adviser. Source: FCA Handbook; PRIN 2A.
What the FCA is (and isn't)
The FCA is the UK conduct regulator for financial services, created by the Financial Services Act 2012. It authorises firms, writes the rules they must follow, supervises their conduct and enforces breaches with fines, bans and criminal prosecution. It does not resolve individual consumer complaints — that is the job of the Financial Ombudsman Service or the FSCS where a firm has failed.
The FCA Handbook — the rules that matter for mis-selling
- PRIN 2A — Consumer Duty: firms must deliver good outcomes for retail customers (in force 31 July 2023).
- COBS 9: suitability of investment and pension advice. Most SIPP and DB-transfer claims turn on breaches of COBS 9.
- COBS 19: specific rules for defined-benefit pension transfer advice, including the Transfer Value Comparator (TVC).
- DISP: complaint-handling rules, including the 8-week firm response window.
- COMP: FSCS eligibility and payout rules.
Consumer Duty (2023) — what changed
Since 31 July 2023 firms owe a positive obligation to deliver good outcomes across four areas: products & services, price & value, consumer understanding and consumer support. It sits above the older "treating customers fairly" standard and is directly relevant to any post-2023 advice complaint.
Checking the FCA Register
Go to register.fca.org.uk and search by firm name or FRN. Confirm the firm holds the permission relevant to your product (e.g. "advising on investments (except on Pension Transfers and Pension Opt Outs)" is notthe same as the DB-transfer permission). Unauthorised firms almost always sit outside the FSCS and FOS regimes.
How to escalate a complaint the FCA doesn't handle
- Complain to the firm in writing. DISP 1.6 gives them 8 weeks to issue a final response.
- If unresolved after 8 weeks, take the case to the Financial Ombudsman Service within 6 months of the final response.
- If the firm is insolvent, apply to the FSCS instead.
- Report suspected misconduct to the FCA via its whistleblowing/consumer-contact route — it feeds enforcement but does not compensate you.
Frequently asked questions
What does the FCA regulate?
The Financial Conduct Authority regulates around 50,000 UK firms across banking, investments, pensions, insurance, consumer credit and payments. It sets conduct rules (COBS), the Consumer Duty (2023) and enforces the Senior Managers & Certification Regime.
What is the FCA Consumer Duty?
The Consumer Duty (PRIN 2A), in force from 31 July 2023, requires firms to deliver good outcomes for retail customers across products, price and value, consumer understanding and consumer support. It has replaced 'treating customers fairly' as the primary conduct standard.
How do I check if a firm is FCA authorised?
Search the FCA Financial Services Register at register.fca.org.uk. Every authorised firm has a unique FRN. If a firm is not on the register, you cannot generally claim through the FSCS or Financial Ombudsman if things go wrong.
Can I complain directly to the FCA?
No — the FCA does not resolve individual complaints. Complain to the firm first (they have 8 weeks under DISP 1.6 to respond), then escalate to the Financial Ombudsman Service or, if the firm is in default, claim via the FSCS.