LONDON (Reuters) - Britain’s finance watchdog on Thursday proposed new rules governing firms that help consumers bring compensation complaints against businesses, including making some roles within the firms subject to regulatory approval.
The Financial Conduct Authority (FCA), which will regulate claims management companies (CMCs) from April 2019, opened a consultation on its proposals, driven by misconduct and governance problems in some parts of the industry.
“Our proposals aim to reduce misconduct in CMCs by raising standards of governance, management and professionalism... They will make individuals accountable for their actions and decisions,” the regulator said in the consultation document.
Reporting by Emma Rumney, Editing by Lawrence White