A step forward for consumer protection but proof is in the enforcement

Destined for greatness or unrealised potential? John Verwey and Sulaiman Malik provide an overview of the FCA's Consumer Duty and its implications for the UK financial system.

John Verwey is a partner in the Financial Services Regulatory group at Proskauer Rose in London, where Sulaiman Malik is an associate. Contact them at jverwey@proskauer.com and smalik@proskauer.com.

In July 2022, the Financial Conduct Authority published a policy statement (PS22/9) [1] and final guidance (FG22/5) [2] for its new 'Consumer Duty'. In the FCA's own words, the Consumer Duty "sets higher and clearer standards of consumer protection across financial services and requires firms to put their customers' needs first".