Latest news with #JamesDippleJohnstone
Times
2 days ago
- Business
- Times
Financial Ombudsman Service boss paid £230,000 after ousting
The ousted head of the Financial Ombudsman Service received a pay-off of almost £230,000, it has been disclosed in the annual report. Abby Thomas, who left abruptly on 6 February, was paid £229,869 in severance payments on top of her normal salary. The payoff included £100,000 for loss of office, £107,692 in lieu of notice and £22,177 for a period of gardening leave that began on the day she left, the FOS said. MPs on the Treasury select committee have hit out at the manner of her departure and criticised the FOS chairwoman Baroness Manzoor for refusing to answer questions on why Thomas left and whether she was forced out. The FOS, which rules on complaints by consumers about financial services firms and can set compensation orders, is under pressure to reform. Rachel Reeves has pledged to curb its powers so it no longer acts like a regulator after complaints from the industry that it has increased the cost of 'mass redress events'. It has been dealing with a significant rise in claims, mainly related to car finance loans, but also because of concerns about other consumer loans and more people complaining about banks' handling of frauds. Dame Meg Hillier, chairwoman of the Treasury committee, said this month: 'The handling of this situation by the senior leadership has been deeply disappointing.' Thomas, a former Virgin Media executive, served for less than three years. She has been replaced by James Dipple-Johnstone as chief ombudsman and Jenny Simmonds as interim chief executive. Manzoor is due to retire on August 1. The FOS received 450,000 new inquiries in the year to March, up from 330,000. The motor finance industry is braced for a judgment from the Supreme Court this Friday that could determine the scale of compensation payments for failing to disclose commissions paid to dealers.
Yahoo
03-07-2025
- Business
- Yahoo
Financial gripes ‘have reached highest level since PPI scandal aftermath'
Financial complaints to the ombudsman have reached their highest level since it was working its way through gripes relating to the PPI scandal. Consumers lodged 305,726 complaints about financial products with the Financial Ombudsman Service (FOS) from the start of April 2024 to the end of March 2025. The service said the last time it received more complaints was during the payment protection insurance issue in 2018-19, when 388,392 complaints were recorded. It has seen significant jumps in some complaint areas. Fraud and scam complaints reached the highest level recorded since the ombudsman started tracking them in 2018-19. Some 35,416 complaints about fraud and scams were received in the 2024-25 period, up from 27,675 in 2023-24. There were 71,685 complaints about irresponsible or unaffordable lending, compared with 33,221 in 2023-24. The service logged 73,328 motor finance commission complaints in 2024-25, up from 12,604. James Dipple-Johnstone, interim chief ombudsman at the FOS, said: 'New financial products, the digitalisation of services and an increase in fraud and scams mean that we now see high levels of demand and an increasing number of complex cases. 'That is why we are working closely with HM Treasury and the FCA (Financial Conduct Authority) to ensure the system – including the vital role our service plays within it – is fit for the future.' The 2024-25 caseload is a 54% jump compared with the 198,798 complaints received the previous year. In 2024-25 the service upheld 34% of complaints in consumers' favour, compared with 37% in 2023-24. Around 27% of complaints brought by professional representatives were upheld, and about 37% brought directly by consumers. Consumers can take a complaint to the ombudsman directly themselves for free. Around half of cases the ombusdman received in 2024-25 were referred by professional representatives. The most complained-about products in 2024-25 related to motor hire purchase, credit cards, current accounts and car or motorcycle insurance, the service said. Sign in to access your portfolio
The Independent
02-07-2025
- Business
- The Independent
Financial gripes ‘have reached highest level since PPI scandal aftermath'
Financial complaints to the ombudsman have reached their highest level since it was working its way through gripes relating to the PPI scandal. Consumers lodged 305,726 complaints about financial products with the Financial Ombudsman Service (FOS) from the start of April 2024 to the end of March 2025. The service said the last time it received more complaints was during the payment protection insurance issue in 2018-19, when 388,392 complaints were recorded. It has seen significant jumps in some complaint areas. Fraud and scam complaints reached the highest level recorded since the ombudsman started tracking them in 2018-19. Some 35,416 complaints about fraud and scams were received in the 2024-25 period, up from 27,675 in 2023-24. There were 71,685 complaints about irresponsible or unaffordable lending, compared with 33,221 in 2023-24. The service logged 73,328 motor finance commission complaints in 2024-25, up from 12,604. James Dipple-Johnstone, interim chief ombudsman at the FOS, said: 'New financial products, the digitalisation of services and an increase in fraud and scams mean that we now see high levels of demand and an increasing number of complex cases. 'That is why we are working closely with HM Treasury and the FCA (Financial Conduct Authority) to ensure the system – including the vital role our service plays within it – is fit for the future.' The 2024-25 caseload is a 54% jump compared with the 198,798 complaints received the previous year. In 2024-25 the service upheld 34% of complaints in consumers' favour, compared with 37% in 2023-24. Around 27% of complaints brought by professional representatives were upheld, and about 37% brought directly by consumers. Consumers can take a complaint to the ombudsman directly themselves for free. Around half of cases the ombusdman received in 2024-25 were referred by professional representatives. The most complained-about products in 2024-25 related to motor hire purchase, credit cards, current accounts and car or motorcycle insurance, the service said.
