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DISP 1.1 Purpose and application

Purpose

DISP 1.1.1 G

6 24This chapter contains rules and guidance on how respondents should deal promptly and fairly with complaints in respect of business carried on from establishments in the United Kingdom,11 by certain branches of firms in the EEA or by certain EEA firms carrying out activities in the United Kingdom under the freedom to provide cross border services.11 It is also relevant to those who may wish to make a complaint or refer it to the Financial Ombudsman Service.

Background

DISP 1.1.2 G

Application to firms

DISP 1.1.3 R
  1. (1)

    Subject to DISP 1.1.5 R, this15 chapter applies to a firm in respect of complaints from eligible complainants concerning activities carried on from an establishment maintained by it or its appointed representative in the United Kingdom.

    15
  2. (2)

    For complaints relating to the MiFID business of a firm, the complaints handling rules and the complaints record rule:

    1. (a)

      apply to complaints from retail clients and do not apply to complaints from eligible complainants who are not retail clients;

    2. (b)

      also apply in respect of activities carried on from a branch of a UK firm in another EEA State; and

    3. (c)

      do not apply in respect of activities carried on from a branch of an EEA firm in the United Kingdom.

  3. (3)

    9The complaints data publication rules do not apply in respect of activities carried on from a branch of an EEA firm in the United Kingdom or activities carried on by an EEA firm in the United Kingdom under the freedom to provide cross border services.11

  4. (4)

    This chapter, except the complaints data publication rules, also applies to an incoming EEA AIFM for complaints from eligible complainants concerning AIFM management functions carried on for an authorised AIF or a UK ELTIF other than a body corporate that is not a collective investment scheme21 under the freedom to provide cross-border services.16

DISP 1.1.4 R

Where a firm has outsourced activities to a third party processor, DISP 1.1.3 R does not apply to the third party processor when acting as such, but applies to the firm which is taking responsibility for the acts and omissions of the third party processor in respect of the outsourced activities.

DISP 1.1.5 R

This chapter does not apply to:

  1. (1)

    [deleted]725

    725
  2. (2)

    [deleted]14

    14
  3. (3)

    an authorised professional firm in respect of expressions of dissatisfaction about its non-mainstream regulated activities; 15

    16
  4. (4)

    complaints in respect of auction regulation bidding;1615

  5. (5)

    a full-scope UK AIFM, small authorised UK AIFM or an incoming EEA AIFM, for complaints concerning AIFM management functions carried on for an AIF that is a body corporate unless it is a collective investment scheme21; and16

  6. (6)

    a depositary, for complaints concerning activities carried on for an AIF that is21:

    16
    1. (a)

      a body corporate unless it is a collective investment scheme21; or16

    2. (b)

      another type of AIF unless it is:21

      1. (i)

        an authorised AIF; or21

      2. (ii)

        an ELTIF; or21

      3. (iii)

        a charity AIF.21

      16
DISP 1.1.5-A G
DISP 1.1.5A R
DISP 1.1.6 G

CREDS 9 sets out rules for credit unions in relation to reporting complaints.14

14
DISP 1.1.6A G

14In relation to a credit union, the nature, scale and complexity of the credit union's business should be taken into account when deciding the appropriate procedures to put in place for dealing with complaints.

DISP 1.1.7 R

This chapter applies to the Society, members of the Society and managing agents, subject to the Lloyd's complaint rules.

DISP 1.1.8 R

An insurance intermediary, that is not also an insurer, must have in place and operate appropriate and effective procedures for registering and responding to complaints from a person who is not an eligible complainant.

[Note: article 10 of the Insurance Mediation Directive]

DISP 1.1.9 G

[deleted]10

10
DISP 1.1.9A G

10The scope of this sourcebook does not include:

  1. (1)

    a complaint about pre-commencement investment business which was regulated by a recognised professional body (those complaints will be handled under the arrangements of that professional body); or

  2. (2)

    a complaint about the administration of an occupational pension scheme, because this is not a regulated activity (firms should refer complainants to the Pensions Advisory Service rather than to the Financial Ombudsman Service).

DISP 1.1.10 R

In relation to a firm's obligations under this chapter, references to a complaint also include an expression of dissatisfaction which is capable of becoming a relevant new complaint,1727 a relevant transitional complaint or a relevant new credit-related complaint.1727

2 17 27

Application to payment service providers

DISP 1.1.10A R

8This chapter (except the complaints record rule,9 the complaints reporting rules and the complaints data publication rules9) applies to payment service providers in respect of complaints from eligible complainants concerning activities carried on from an establishment maintained by it or its agent in the United Kingdom.

9
DISP 1.1.10B G
  1. (1)

    8In this sourcebook, the term payment service provider does not include full credit institutions (which are covered by this sourcebook as firms), but it does include small electronic money institutions.1326

    13261326
  2. (2)

    8Although payment service providers are not required to comply with the complaints record rule, it is in their interest to retain records of complaints so that these can be used to assist the Financial Ombudsman Service should this be necessary.

Application to electronic money issuers

DISP 1.1.10C R

13 26This chapter (except the complaints record rule, the complaints reporting rules, and the complaints data publication rules) applies to electronic money issuers in respect of complaints from eligible complainants concerning activities carried on from an establishment maintained by it or its agent in the United Kingdom.

DISP 1.1.10D G
  1. (1)

    1326In this sourcebook, the term electronic money issuer does not include credit institutions, credit unions or municipal banks (which will be carrying on a regulated activity if they issue electronic money and will be covered by this sourcebook as firms in those circumstances), but it does include small electronic money institutions and persons who meet the conditions set out in regulation 75(1) or regulation 76(1) of the Electronic Money Regulations.

  2. (2)

    Although electronic money institutions are not required to comply with the complaints record rule, it is in their interest to retain records of complaints so that these can be used to assist the Financial Ombudsman Service should this be necessary.

Application to UCITS management companies

DISP 1.1.10E R

11For complaints related to collective portfolio management services of a UK UCITS management company for a UCITS scheme or an EEA UCITS scheme, DISP 1.1.3R (1) applies, except where modified as follows:

  1. (1)

    the consumer awareness rules, complaints handling rules and complaints record rule apply in respect of complaints from Unitholders rather than from eligible complainants; and

  2. (2)

    the consumer awareness rules, the complaints handling rules and the complaints record rule, as modified in (1), also apply where the services are provided from a branch in another EEA State (and any reference to respondent in the consumer awareness rules includes such a branch).

DISP 1.1.10F R

For complaints related to collective portfolio management services of an EEA UCITS management company for a UCITS scheme, DISP 1.1.3R (1) applies, except where modified as follows:

  1. (1)

    where the services are provided from a branch in the United Kingdom, the consumer awareness rules, complaints handling rules and complaints record rule apply in respect of complaints from Unitholders rather than from eligible complainants; and

  2. (2)

    this chapter, except the consumer awareness rules, complaints handling rules, complaints record rule and complaints data publication rules, also applies to an EEA UCITS management company providing services in the United Kingdom under the freedom to provide cross border services.

Application to CBTL firms18

DISP 1.1.10G R

This chapter (except the complaints record rule, the complaints reporting rules and the complaints data publication rules) applies to CBTL firms in respect of complaints from eligible complainants19concerning activities carried on from an establishment maintained in the United Kingdom.

19
18
DISP 1.1.10H G
  1. (1)

    In this sourcebook, the term CBTL firm does not include a firm. A firm carrying on CBTL business is covered by this sourcebook as a firm.

  2. (2)

    CBTL firms are reminded of their obligation to retain information relevant to demonstrating the firm’s compliance or non-compliance with the requirements of Schedule 2 to the MCD Order.

18

Application to designated credit reference agencies

DISP 1.1.10I R

20This chapter (except the complaints record rule, the complaints reporting rules and the complaints data publication rules) applies to a designated credit reference agency in respect of complaints from eligible complainants concerning activities carried on from an establishment maintained by it or its agent in the United Kingdom.

DISP 1.1.10J G

20Although designated credit reference agencies are not required to comply with the complaints record rule, they must retain records in accordance with regulation 24 of the Small and Medium Sized Business (Credit Information) Regulations and these can be used to assist the Financial Ombudsman Service should this be necessary.

Application to designated finance platforms

DISP 1.1.10K R

22This chapter (except the complaints record rule, the complaints reporting rules, and the complaints data publication rules) applies to a designated finance platform in respect of complaints from eligible complainants concerning activities carried on from an establishment maintained by it or its agent in the United Kingdom.

DISP 1.1.10L G

22Although designated finance platforms are not required to comply with the complaints record rule, they must retain records in accordance with regulation 21 of the Small and Medium Sized Business (Finance Platforms) Regulations and these can be used to assist the Financial Ombudsman Service should this be necessary.

FSAVC Review

DISP 1.1.11 R

Where the subject matter of a complaint is subject to a review directly or indirectly under the terms of the policy statement for the review of specific categories of FSAVC business issued by the FSA on 28 February 2000, the complaints resolution rules, the complaints time limit rules, the complaints record rule,9 the complaints reporting rules and the complaints data publication rules9 will apply only if the complaint is about the outcome of the review.

9

Consumer redress schemes

DISP 1.1.11A R

12Where the subject matter of a complaint falls to be dealt with (or has properly been dealt with) under a consumer redress scheme, the complaints resolution rules, the complaints time limits rules, the complaints record rule and the complaints reporting rules do not apply.

20Exemptions for firms, payment service providers, electronic money issuers, designated credit reference agencies and designated finance platforms221326

DISP 1.1.12 R
  1. (1)

    A firm, payment service provider20, electronic money issuer, 22designated credit reference agency20 or designated finance platform22 falling within the Compulsory Jurisdiction which does not conduct business with eligible complainants and has no reasonable likelihood of doing so, can, by written notification to the FCA , claim exemption from the rules relating to the funding of the Financial Ombudsman Service, and from the remainder of this chapter.

    132681326
  2. (2)

    Notwithstanding (1):11

    1. (a)

      the complaints handling rules and complaints record rule will continue to apply in respect of complaints concerning MiFID business; and11

    2. (b)

      the consumer awareness rules, the complaints handling rules and the complaints record rule will continue to apply in respect of complaints concerning the provision of collective portfolio management services.11

  3. (3)

    The exemption takes effect from the date on which the written notice is received by the FCA and will cease to apply when the conditions relating to the exemption no longer apply.

DISP 1.1.13 G

SUP 15.6 refers to and contains requirements regarding the steps that firms must take to ensure that information provided to the FCA is accurate and complete. Those requirements apply to information submitted to the FCA under this chapter.

Application to VJ participants1727

DISP 1.1.15 R
DISP 1.1.16 G

Although VJ participants are not required to comply with the complaints record rule, it is in their interest to retain records of complaints so that these can be used to assist the Financial Ombudsman Service should it be necessary.

17 27

Outsourcing of complaint handling

DISP 1.1.19 G
  1. (1)

    This chapter does not prevent:

    1. (a)

      the use by a respondent of a third party administrator to handle or resolve complaints (or both); or

    2. (b)

      two or more respondents arranging a one-stop shop for handling or resolving complaints (or both) under a service level agreement.

  2. (2)

    These arrangements do not affect respondents' obligations as set out in DISP or the provisions relating to outsourcing by a firm set out in SYSC 8 and SYSC 13.

DISP 1.1.20 G

Further guidance on the application of this chapter is set out in the table in DISP 1 Annex 2.

DISP 1.2 Consumer awareness rules

5Publishing and providing summary details, and information about the Financial Ombudsman Service813

DISP 1.2.1 R

To aid consumer awareness of the protections offered by the provisions in this chapter, respondents must:

  1. (1)

    publish appropriate information regarding their internal procedures for the reasonable and prompt handling of complaints;612

    612
  2. (2)

    refer eligible complainants to the availability of this information:6125

    5612
      5
    1. (a)

      5in relation to a payment service, in the information on out-of-court complaint and redress procedures required to be provided or made available under regulations 36(2)(e) (Information required prior to the conclusion of a single payment service contract) or 40 (Prior general information for framework contracts) of the Payment Services Regulations; or

    2. (aa)

      in relation to CBTL arrangers, in the information on registering complaints internally and out-of-court complaint and redress procedures provided under article 7(1)(h) of Schedule 2 to the MCD Order; or

      9
    3. (b)

      otherwise, in writing at, or immediately after, the point of sale;

      813
  3. (3)

    provide such information in writing and free of charge612 to eligible complainants:

    612
    1. (a)

      on request; and

    2. (b)

      when acknowledging a complaint; and813

  4. (4)

    provide information to eligible complainants, in a clear, comprehensible and easily accessible way, about the Financial Ombudsman Service including the Financial Ombudsman Service's website address:813

    1. (a)

      on the respondent's website, where one exists; and813

    2. (b)

      if applicable, in the general conditions of the respondent's contract with the eligible complainant.813

[Note: article 15 of the UCITS Directive, article 13(2) of the ADR Directive article 14(1) of the ODR Regulation, and regulation 19 of the ADR Regulations.1014]7813

10 14
DISP 1.2.2 R

Where the activity does not involve a sale, the obligation in DISP 1.2.1R(2)(b):11

  1. (1)

    shall apply at, or immediately after, the point when contact is first made with an eligible complainant; and11

  2. (2)

    where the respondent is a not-for-profit debt advice body:11

    1. (a)

      may be met at, or immediately after, the point when contact is first made with an eligible complainant, by making an oral reference to the availability of the information if the respondent does not communicate with the eligible complainant in writing then; and11

    2. (b)

      must be met in writing on the first occasion on which the respondent communicates with the eligible complainant in writing.11

DISP 1.2.2A R

If an MCD credit intermediary has, before or at the point of sale, provided an eligible complainant with appropriate information in a durable medium about their internal procedures for the reasonable and prompt handling of complaints pursuant to another rule, the MCD credit intermediary need not refer to the availability of that information again under DISP 1.2.1R(2)(b).

9

5Content of summary details

DISP 1.2.3 G

The813 summary details concerning internal complaints handling procedures 813should cover at least:

8 13
  1. (1)

    how the respondent fulfils its obligation to handle and seek to resolve relevant complaints; and

  2. (2)

    (where the complaint falls within the jurisdiction of the Financial Ombudsman Service)7 that, if the complaint is not resolved, the complainant may be entitled to refer it to the Financial Ombudsman Service.

DISP 1.2.4 G

Those813 summary details may be set out in a leaflet, and their availability may be referred to in contractual documentation.

8 13

5Financial Ombudsman Service logo

DISP 1.2.5 G

Respondents may also display or reproduce the Financial Ombudsman Service logo (under licence) in:

  1. (1)

    branches and sales offices to which eligible complainants have access; or

  2. (2)

    marketing literature or correspondence directed at eligible complainants;

provided it is done in a way which is not misleading.

DISP 1.2.5A G

7 DISP 1.2.5 G does not apply to a branch of a UK UCITS management company in another EEA State.

DISP 1.3 Complaints handling rules

Complaints handling procedures for respondents

DISP 1.3.1 R

Effective and transparent procedures for the reasonable and prompt handling of complaints must be established, implemented and maintained by:

  1. (1)

    a respondent; and

  2. (2)

    a branch of a UKfirm in another EEA State.

[Note: article 10 of the MiFID implementing Directive and article 6(1) of the UCITS implementing Directive]5

Call charges

DISP 1.3.1A R

4 10These procedures must ensure that a complaint may be made free of charge.

[Note: article 6(3) of the UCITS implementing Directive]5

DISP 1.3.1AA R

8 11Where a respondent operates a telephone line for the purpose of enabling an eligible complainant to submit a complaint, the complainant must not be bound to pay more than the basic rate when contacting the respondent by telephone.

DISP 1.3.1AB R

8 11For the purposes of DISP 1.3.1AAR the basic rate is the simple cost of connection and must not provide the respondent with a contribution to its costs or revenues.

DISP 1.3.1AC R

8 11The following numbers, if used by a respondent, would comply with DISP 1.3.1ABR:

  1. (1)

    geographic numbers or numbers which are always set at the same rate, which usually begin with the prefix 01, 02 or 03;

  2. (2)

    calls which can be free of charge to call, for example 0800 and 0808 numbers; and

  3. (3)

    standard mobile numbers, which usually begin with the prefix 07, provided that the respondent ordinarily uses a mobile number to receive telephone calls.

DISP 1.3.1AD R

8 11The following numbers, if used by a respondent, would not comply with DISP 1.3.1ABR:

  1. (1)

    premium rate numbers that begin with the prefix 09;

  2. (2)

    other revenue sharing numbers in which a portion of the call charge can be used to either provide a service or make a small payment to the respondent, such as telephone numbers that begin with the prefix 084 or 0871, 0872 or 0873; and

  3. (3)

    telephone numbers that begin with the prefix 0870, as the cost of making a telephone call on such numbers can be higher than a geographic cost and will vary depending on the eligible complainant's telephone tariff.

Particular procedures for UCITS management companies

DISP 1.3.1B R

5A UK UCITS management company must ensure that the procedures it establishes under DISP 1.3.1 R for the reasonable and prompt handling of complaints require that:

  1. (1)

    there are no restrictions on Unitholders exercising their rights in the event that the UCITS is authorised in an EEA State other than the United Kingdom; and

  2. (2)

    Unitholders are allowed to file complaints in any of the official languages of the Home State of the UCITS scheme or EEA UCITS scheme or of any EEA State to which a notification has been transmitted by the competent authority of the scheme'sHome State in accordance with article 93 of the UCITS Directive.

[Note: article 15 of the UCITS Directive]

Further requirements for all respondents

DISP 1.3.2 G

These procedures should:

  1. (1)

    allow complaints to be made by any reasonable means; and

  2. (2)

    recognise complaints as requiring resolution.

DISP 1.3.2A G

4 10These procedures should, taking into account the nature, scale and complexity of the respondent's business, ensure that lessons learned as a result of determinations by the Ombudsman are effectively applied in future complaint handling, for example by:

  1. (1)

    relaying a determination by the Ombudsman to the individuals in the respondent who handled the complaint and using it in their training and development;

  2. (2)

    analysing any patterns in determinations by the Ombudsman concerning complaints received by the respondent and using this in training and development of the individuals dealing with complaints in the respondent; and

  3. (3)

    analysing guidance produced by the FCA , other relevant regulators and the Financial Ombudsman Service and communicating it to the individuals dealing with complaints in the respondent.

DISP 1.3.3 R

In respect of complaints that do not relate to MiFID business, a respondent must put in place appropriate management controls and take reasonable steps to ensure that in handling complaints it identifies and remedies any recurring or systemic problems, for example, by:

1
  1. (1)

    analysing the causes of individual complaints so as to identify root causes common to types of complaint;

  2. (2)

    considering whether such root causes may also affect other processes or products, including those not directly complained of; and

  3. (3)

    correcting, where reasonable to do so, such root causes.

DISP 1.3.3B G

4The processes that a firm or CBTL firm7 should have in place in order to comply with DISP 1.3.3 R may include, taking into account the nature, scale and complexity of the firm's or CBTL firm’s7 business including, in particular, the number of complaints the firm or CBTL firm7receives:

  1. (1)

    the collection of management information on the causes of complaints and the products and services complaints relate to, including information about complaints that are resolved by the firm by close of business on the third business day following the day on which it is received9;

  2. (2)

    a process to identify the root causes of complaints (DISP 1.3.3 R (1));

  3. (3)

    a process to prioritise dealing with the root causes of complaints;

  4. (4)

    a process to consider whether the root causes identified may affect other processes or products (DISP 1.3.3 R (2));

  5. (5)

    a process for deciding whether root causes discovered should be corrected and how this should be done (DISP 1.3.3 R (3));

  6. (6)

    regular reporting to the senior personnel where information on recurring or systemic problems may be needed for them to play their part in identifying, measuring, managing and controlling risks of regulatory concern; and

  7. (7)

    keeping records of analysis and decisions taken by senior personnel in response to management information on the root causes of complaints.

DISP 1.3.4 G

In respect of complaints that relate to MiFID business, a firm should put in place appropriate management controls and take reasonable steps, in the same way as for complaints that do not relate to MiFID business (see DISP 1.3.3 R and DISP 1.3.3B G), in order to detect and minimise any risk of compliance failures (SYSC 6.1) and to comply with Principle 6 (Customers' interests).4

4
DISP 1.3.5 G

[deleted]4

4
DISP 1.3.6 G

4Where a firm identifies (from its complaints or otherwise) recurring or systemic problems in its provision of, or failure to provide, a financial service, it should (in accordance with Principle 6 (Customers' interests) and to the extent that it applies) consider whether it ought to act with regard to the position of customers who may have suffered detriment from, or been potentially disadvantaged by, such problems but who have not complained and, if so, take appropriate and proportionate measures to ensure that those customers are given appropriate redress or a proper opportunity to obtain it. In particular, the firm should:

  1. (1)

    ascertain the scope and severity of the consumer detriment that might have arisen; and

  2. (2)

    consider whether it is fair and reasonable for the firm to undertake proactively a redress or remediation exercise, which may include contacting customers who have not complained.

DISP 1.3.7 R
  1. (1)

    4A firm must appoint an individual at the firm, or in the same group as the firm, to have responsibility for oversight of the firm's compliance with DISP 1.

  2. (2)

    The individual appointed must be carrying out a FCA6governing function at the firm or in the same group as the firm.

DISP 1.3.8 G

4 Firms are not required to notify the name of the individual to the FCA or the Financial Ombudsman Service but would be expected to do so promptly on request. There is no bar on a firm appointing different individuals to have the responsibility at different times where this is to accommodate part-time or flexible working.

DISP 1.4 Complaints resolution rules

Investigating, assessing and resolving complaints6

DISP 1.4.1 R

Once a complaint has been received by a respondent, it must:

  1. (1)

    investigate the complaint competently, diligently and impartially, obtaining additional information as necessary;58

  2. (2)

    assess fairly, consistently and promptly:

    1. (a)

      the subject matter of the complaint;

    2. (b)

      whether the complaint should be upheld;

    3. (c)

      what remedial action or redress (or both) may be appropriate;

    4. (d)

      if appropriate, whether it has reasonable grounds to be satisfied that another respondent may be solely or jointly responsible for the matter alleged in the complaint;

taking into account all relevant factors;

  1. (3)

    offer redress or remedial action when it decides this is appropriate;

  2. (4)

    explain to the complainant promptly and, in a way that is fair, clear and not misleading, its assessment of the complaint, its decision on it, and any offer of remedial action or redress; and

  3. (5)

    comply promptly with any offer of remedial action or redress accepted by the complainant.

DISP 1.4.2 G

Factors that may be relevant in the assessment of a complaint under DISP 1.4.1R (2) include the following:

5 8
  1. (1)

    all the evidence available and the particular circumstances of the complaint;

  2. (2)

    similarities with other complaints received by the respondent;

  3. (3)

    relevant guidance published by the FCA , other relevant regulators, the Financial Ombudsman Service or former schemes; and

  4. (4)

    appropriate analysis of decisions by the Financial Ombudsman Service concerning similar complaints received by the respondent (procedures for which are described in DISP 1.3.2A G).58

DISP 1.4.3 G

The respondent should aim to resolve complaints at the earliest possible opportunity, minimising the number of unresolved complaints which need to be referred to the Financial Ombudsman Service.

Co-operating with the Financial Ombudsman Service

DISP 1.4.4 R

Where a complaint against a respondent is referred to the Financial Ombudsman Service, the respondent must cooperate fully with the Financial Ombudsman Service and comply promptly with any settlements or awards made by it.

1

Mortgage endowment complaints

DISP 1.4.5 G

DISP App 1 contains guidance to respondents on the approach to assessing financial loss and appropriate redress where a respondent upholds a complaint concerning the sale of an endowment policy for the purposes of repaying a mortgage.

Payment protection insurance complaints

DISP 1.4.6 G

DISP App 3 sets out the approach which respondents should use in assessing complaints relating to the sale of payment protection contracts and determining appropriate redress where a complaint is upheld.4

DISP 1.5 10Complaints resolved by close of the third business day810

DISP 1.5.1 R

The following rules do not apply to a complaint that is resolved by a respondent by close of business on the third 810business day following the day on which it is received810:

  1. (1)

    the complaints time limit rules; and98

    810
  2. (2)

    the complaints forwarding rules.810

  3. (3)

    [deleted]810

    6
  4. (4)

    [deleted]810

    76
  5. (5)

    [deleted]810

    6
DISP 1.5.2 G

Complaints falling within this section are still subject to the complaints810 resolution rules.

When a complaint is resolved810

DISP 1.5.2A R

8 10A complaint is resolved where the complainant has indicated acceptance of a response from the respondent, with neither the response nor acceptance having to be in writing.

DISP 1.5.3 G

[deleted]810

Summary resolution communication810

DISP 1.5.4 R

8 10Where the respondent considers a complaint to be resolved under this section, the respondent must promptly9 send the complainant a ‘summary resolution communication’, being a written communication from the respondent which:

  1. (1)

    refers to the fact that the complainant has made a complaint and informs the complainant that the respondent now considers the complaint to have been resolved;

  2. (2)

    tells the complainant that if he subsequently decides that he is dissatisfied with the resolution of the complaint he may be able to refer the complaint to the Financial Ombudsman Service;

  3. (3)

    indicates whether or not the respondent consents to waive the relevant time limits in DISP 2.8.2R or DISP 2.8.7R (Was the complaint referred to the Financial Ombudsman Service in time?) by including the appropriate wording set out in DISP 1 Annex 3R;

  4. (4)

    provides the website address of the Financial Ombudsman Service; and

  5. (5)

    refers to the availability of further information on the website of the Financial Ombudsman Service.

[Note: article 13 of the ADR Directive]

DISP 1.5.5 G

8 10The information regarding the Financial Ombudsman Service required to be provided in a summary resolution communication should be set out clearly, comprehensibly, in an easily accessible way and prominently, within the text of those responses.

DISP 1.5.6 G

8 10In addition to sending a complainant a summary resolution communication, a respondent may also use other methods to communicate the information referred to in DISP 1.5.4R(1) to (5) where–

  1. (1)

    the respondent considers that doing so may better meet the complainant’s needs; or

  2. (2)

    the complainant and respondent have already been using another method to communicate about the complaint.

DISP 1.5.7 G

8 10An example of DISP 1.5.6G(1) may be where a respondent is aware that a complainant is visually impaired. An example of DISP 1.5.6G(2) may be where a respondent has been communicating with a complainant about a complaint by telephone.

DISP 1.6 Complaints time limit rules

Keeping the complainant informed

DISP 1.6.1 R

On receipt of a complaint, a respondent must:

  1. (1)

    send the complainant a prompt written acknowledgement providing early reassurance that it has received the complaint and is dealing with it; and

  2. (2)

    ensure the complainant is kept informed thereafter of the progress of the measures being taken for the complaint's resolution.

Final or other response within eight weeks

DISP 1.6.2 R

The respondent must, by the end of eight weeks after its receipt of the complaint, send the complainant:

  1. (1)

    a 'final response', being a written response from the respondent which:37

    37
    1. (a)

      accepts the complaint and, where appropriate, offers redress or remedial action; or

    2. (b)

      offers redress or remedial action without accepting the complaint; or

    3. (c)

      rejects the complaint and gives reasons for doing so;

    and which:

    1. (d)

      encloses a copy of the Financial Ombudsman Service's standard explanatory leaflet;

      48
    2. (da)

      provides the website address of the Financial Ombudsman Service;48

    3. (e)

      informs the complainant that if he remains dissatisfied with the respondent's response, he may now refer his complaint to the Financial Ombudsman Service; and48

      48
    4. (f)

      indicates whether or not the respondent consents to waive the relevant time limits in DISP 2.8.2 R or DISP 2.8.7 R (Was the complaint referred to the Financial Ombudsman Service in time?) by including the appropriate wording set out in DISP 1 Annex 3R; or48

  2. (2)

    a written response which:

    1. (a)

      explains why it is not in a position to make a final response and indicates when it expects to be able to provide one;

    2. (b)

      informs the complainant that he may now refer the complaint to the Financial Ombudsman Service;

      48
    3. (ba)

      indicates whether or not the respondent consents to waive the relevant time limits in DISP 2.8.2 R or DISP 2.8.7 R (Was the complaint referred to the Financial Ombudsman Service in time?) if it becomes apparent that the complaint has been made or is referred outside those time limits;48

    4. (c)

      encloses a copy of the Financial Ombudsman Service standard explanatory leaflet; and48

      48
    5. (d)

      provides the website address of the Financial Ombudsman Service.48

[Note: article 13 of the ADR Directive]

4 8
DISP 1.6.3 G

[deleted]37

Complainant's written acceptance

DISP 1.6.4 R

DISP 1.6.2 R does not apply if the complainant has already indicated in writing acceptance of a response by the respondent, provided that the response:

2 6
  1. (1)

    informed the complainant how to pursue his complaint with the respondent if he remains dissatisfied; 26

    48
  2. (2)

    referred to the ultimate availability of the Financial Ombudsman Service if he remains dissatisfied with the respondent's response;26

  3. (3)

    enclosed a copy of the Financial Ombudsman Service standard explanatory leaflet;48

  4. (4)

    provided the website address of the Financial Ombudsman Service; and48

  5. (5)

    indicated whether or not the respondent consents to waive the relevant time limits in DISP 2.8.2 R or DISP 2.8.7 R (Was the complaint referred to the Financial Ombudsman Service in time?) by including the appropriate wording set out in DISP 1 Annex 3 R.48

DISP 1.6.5 R

[deleted]37

3 7
DISP 1.6.6 R

[deleted]37

3 7
DISP 1.6.6A G

2 6The information regarding the Financial Ombudsman Service required to be provided in responses sent under the complaints time limit rules (DISP 1.6.2 R and DISP 1.6.4 R)37 should be set out clearly, comprehensibly, in an easily accessible way and 48prominently within the text of those responses.

3 7

[Note: article 13 of the ADR Directive]

4 8

Speed and quality of response

DISP 1.6.7 G

It is expected that within eight weeks of their receipt, almost all complaints to a respondent will have been substantively addressed by it through a final response or response as described in DISP 1.6.4 R.37

DISP 1.6.8 G

When assessing a respondent's response to a complaint, the FCA may have regard to a number of factors, including, the quality of response, as against the complaints resolution rules, as well as the speed with which it was made.

DISP 1.7 Complaints forwarding rules

Forwarding a complaint3

DISP 1.7.1 R

A respondent that has reasonable grounds to be satisfied that another respondent may be solely or jointly responsible for the matter alleged in a complaint may forward the complaint, or the relevant part of it, in writing to that other respondent, provided it:

  1. (1)

    does so promptly;

  2. (2)

    informs the complainant promptly in a final response of why the complaint has been forwarded by it to the other respondent, and of the other respondent's contact details; and

  3. (3)

    where jointly responsible for the fault alleged in the complaint, it complies with its own obligations under this chapter in respect of that part of the complaint it has not forwarded.

Dealing with a forwarded complaint

DISP 1.7.2 R

When a respondent receives a complaint that has been forwarded to it under DISP 1.7.1 R, the complaint is treated for the purposes of DISP as if made directly to that respondent, and as if received by it when the forwarded complaint was received.

DISP 1.7.3 G

On receiving a forwarded complaint, the standard time limits will apply from the date on which the respondent receives the forwarded complaint.

DISP 1.9 Complaints record rule

DISP 1.9.1 R

A firm, including, in the case of MiFID business or collective portfolio management services for a UCITS scheme or an EEA UCITS scheme, a branch of a UK firm in another EEA state, must keep a record of each complaint received and the measures taken for its resolution, and retain that record for:3

2
  1. (1)

    at least five years where the complaint relates to MiFID business or collective portfolio management services for a UCITS scheme or an EEA UCITS scheme; and3

    2
  2. (2)

    three years for all other complaints;3

from the date the complaint was received.3

[Note: article 10 of the MiFID implementing Directive and article 6(2) of the UCITS implementing Directive]3

2
DISP 1.9.2 G

The records of the measures taken for resolution of complaints may be used to assist with the collection of management information pursuant to DISP 1.3.3BG(1) and regular reporting to the senior personnel pursuant to DISP 1.3.3BG(6).3

1

DISP 1.10 Complaints reporting rules

DISP 1.10.1 R
6 14
  1. (1)

    Unless (2) applies, twice a year a firm must provide the FCA with a complete report concerning complaints received from eligible complainants.10

    614
  2. (2)

    If a firm has permission to carry on only credit-related regulated activities or operating an electronic system in relation to lending and has revenue arising from those activities that is less than or equal to £5,000,000 a year, the firm must provide the FCA with a complete report concerning complaints received from eligible complainants once a year.10

    888614
  3. (3)

    The report required by (1) and (2) must be set out in the format in DISP 1 Annex 1R.10

    614
  4. (4)

    Paragraphs (1) and (2) do not apply to a firm with only a limited permission unless that firm is a not-for-profit debt advice body that at any point in the last 12 months has held £1 million or more in client money or as the case may be, projects that it will hold £1million or more in client money in the next 12 months.10

    614
DISP 1.10.1-A G

A firm with only a limited permission to whom DISP 1.10.1R(1) and (2) do not apply is required to submit information to the FCA about the number of complaints it has received in relation to credit-related activities under the reporting requirements in SUP 16.12 (see, in particular, data item CCR007 in SUP 16.12.29CR). A firm with limited permission to whom DISP 1.10.1R (1) and (2) do not apply is also subject to the complaints data publication rules in DISP 1.10A.10

6 14

2Forwarded complaints102

DISP 1.10.1A R

A firm must not include in the report a complaint that has been forwarded in its entirety to another respondent under the complaints forwarding rules.10

1 1 1
DISP 1.10.1B G

Where a firm has forwarded to another respondent only part of a complaint or where two respondents may be jointly responsible for a complaint, then the complaint should be reported by both firms.10

1 1 1

Joint reports102

DISP 1.10.1C R

Firms that are part of a group may submit a joint report to the FCA. The joint report must contain the information required from all firms concerned and clearly indicate the firms on whose behalf the report is submitted. The requirement to provide a report, and the responsibility for the report, remains with each firm in the group.10

1
DISP 1.10.1D G

Not all the firms in the group need to submit the report jointly. Firms should only consider submitting a joint report if it is logical to do so, for example, where the firms have a common central complaints handling team, the same accounting reference date and are all subject to the same reporting frequencies and submission deadlines.10

1 6 14

Information requirements102

DISP 1.10.2 R
  1. (1)

    Where a firm receives less than 500 complaints in a reporting period, Part A-1 of DISP 1 Annex 1 requires, for the relevant reporting period and in respect of particular categories of products:10

    1. (a)

      in Table 1, information about the total number of complaints received by the firm and the cause of the complaint;10

    2. (b)

      in Table 2, information about the number of complaints that were:10

      1. (i)

        closed or upheld within different periods of time; and10

      2. (ii)

        the total amount of redress paid by the firm in relation to complaints upheld and not upheld in the relevant reporting period; and10

    3. (c)

      in Table 3, information providing context about the complaints received.10

  2. (2)

    Where a firm receives 500 or more complaints in a reporting period, Part A-2 of DISP 1 Annex 1 requires, for the relevant reporting period and in respect of particular categories of products:10

    1. (a)

      in Table 4, information about the total number of complaints received by the firm and the cause of the complaint;10

    2. (b)

      in Table 5, information about the number of complaints that were:10

      1. (i)

        closed or upheld within different periods of time; and10

      2. (ii)

        the amount of redress paid by the firm in relation to complaints upheld and not upheld in the relevant reporting period; and10

    3. (c)

      in Table 6, information providing context about the complaints received.10

DISP 1.10.2-A R

Part B of DISP 1 Annex 1R requires (for the relevant reporting period) information about:10

6 14
  1. (1)

    the total number of complaints received by the firm;10

  2. (2)

    the total number of complaints closed by the firm;10

  3. (3)

    the total number of complaints:10

    1. (a)

      upheld by the firm in the reporting period; and10

    2. (b)

      outstanding at the beginning of the reporting period; and10

  4. (4)

    the total amount of redress paid in respect of complaints during the reporting period.10

DISP 1.10.2A R
  1. (1)

    Twice a year a firm must provide the FCA with a complete report concerning complaints received from eligible complainants about matters relating to activities carried out by its employees when acting as retail investment advisers. The report must be set out in the format in DISP 1 Annex 1C R.10

    4777
  2. (2)

    DISP 1 Annex 1C R requires (for the relevant reporting period) information about:10

    1. (a)

      the total number of complaints received by the firm about matters relating to activities carried out by its employees when acting as retail investment advisers;10

      777
    2. (b)

      the total number of complaints closed by the firm about matters relating to activities carried out by its employees when acting as retail investment advisers;10

      777
    3. (c)

      the total number of complaints upheld by the firm about matters relating to activities carried out by its employees when acting as retail investment advisers; and10

      777
    4. (d)

      the total amount of redress paid in respect of complaints upheld during the reporting period about matters relating to activities carried out by its employees when acting as retail investment advisers.10

      777
  3. (3)

    For the purposes of DISP 1 Annex 1C Rretail investment adviser information must be reported by: 11

    10
    1. (a)

      11the employee’s Individual Reference Number (IRN); or

    2. (b)

      11in the case of an employee of a relevant authorised person who is performing an FCA-specified significant harm function and has no IRN:

      1. (i)

        the employee’s National Insurance (NI) number and date of birth; or

      2. (ii)

        if the employee has no NI number, the employee’s date of birth, current passport number and nationality.

DISP 1.10.3 G

For the purposes of DISP 1.10.2R, DISP 1.10.2-AR and DISP 1.10.2AR, when completing the return, the firm should take into account the following matters.10

6 14 4
  1. (1)

    If a complaint could fall into more than one category, the complaint should be recorded in the category which the firm considers to form the main part of the complaint.10

  2. (2)

    Under DISP 1.10.2R(1)(b), DISP 1.10.2R(2)(b) or DISP 1.10.2-AR, a firm should report information relating to all complaints which are closed and upheld within the relevant reporting period, including those resolved under DISP 1.5 (Complaints resolved by close of the third business day).10 Where a complaint is upheld in part, or where the firm does not have enough information to make a decision yet chooses to make a goodwill payment to the complainant, a firm should treat the complaint as upheld for reporting purposes. However, where a firm rejects a complaint, yet chooses to make a goodwill payment to the complainant, the complaint should be recorded as 'rejected'.

    1061411313111
  3. (3)

    If a firm reports on the amount of redress paid under DISP 1.10.2R(1)(b)(ii), DISP 1.10.2R(2)(b)(ii),10DISP 1.10.2-AR(4) or DISP 1.10.2AR, redress should be interpreted to include an amount paid, or cost borne, by the firm, where a cash value can be readily identified, and should include:10

    6144
    1. (a)

      amounts paid for distress and inconvenience;10

    2. (b)

      a free transfer out to another provider which transfer would normally be paid for;10

    3. (c)

      goodwill payments and goodwill gestures;10

    4. (d)

      interest on delayed settlements;10

    5. (e)

      waiver of an excess on an insurance policy; and10

    6. (f)

      payments to put the consumer back into the position the consumer should have been in had the act or omission not occurred.10

  4. (4)

    If a firm reports on the amount of redress paid under DISP 1.10.2R(1)(b)(ii), DISP 1.10.2R(2)(b)(ii),10DISP 1.10.2-AR(4) or DISP 1.10.2AR, the redress should not, however, include repayments or refunds of premiums which had been taken in error (for example where a firm had been taking, by direct debit, twice the actual premium amount due under a policy). The refund of the overcharge would not count as redress.10

    6144

[Note: See SUP 10A.14.24R for the ongoing duty to notify complaints about matters relating to activities carried out by an employee when acting as a retail investment adviser.] 10

9 12 12 7 7 7 7 4
DISP 1.10.4 R

Unless DISP 1.10.4AR applies, the relevant reporting periods are:10

  1. (1)

    the six months immediately following a firm'saccounting reference date; and 10

  2. (2)

    the six months immediately preceding a firm'saccounting reference date. 10

DISP 1.10.4A R

If a firm has permission to carry on only credit-related regulated activities or operating an electronic system in relation to lending and has revenue arising from those activities that is less than or equal to £5,000,000 a year, the relevant reporting period is the year immediately following the firm'saccounting reference date.10

DISP 1.10.5 R

Reports are to be submitted to the FCA within 30 business days of the end of the relevant reporting periods through, and in the electronic format specified in, the FCA Complaints Reporting System or the appropriate section of the FCA website.10

DISP 1.10.6 R

If a firm is unable to submit a report in electronic format because of a systems failure of any kind, the firm must notify the FCA , in writing and without delay, of that systems failure.10

DISP 1.10.6A R
  1. (1)

    5If a firm does not submit a complete report by the date on which it is due, in accordance with DISP 1.10.5 R, the firm must pay an administrative fee of £250.10

  2. (2)

    The administrative fee in (1) does not apply if the firm has notified the FCA of a systems failure in accordance with DISP 1.10.6 R.10

DISP 1.10.7 R

A closed complaint is a complaint where:10

  1. (1)

    the firm has sent a final response; or10

  2. (2)

    the complainant has indicated in writing acceptance of the firm's earlier response under DISP 1.6.4 R.10313

    313
DISP 1.10.8 G

[deleted]10313

3 13

Notification of contact point for complainants

DISP 1.10.9 R

For the purpose of inclusion in the public record maintained by the FCA, a firm must:10

  1. (1)

    provide the FCA, at the time of its authorisation, with details of a single contact point within the firm for complainants; and10

  2. (2)

    notify the FCA of any subsequent change in those details when convenient and, at the latest, in the firm's next report under the complaints reporting rules.10

Meaning of revenue

DISP 1.10.10 G

6 14In DISP 1.10, references to revenue in relation to any firm do not include the amount of any repayment of any credit provided by that firm as lender.10

DISP 1.10A Complaints data publication rules

Obligation to publish summary of complaints data or total number of complaints25

DISP 1.10A.1 R
  1. (1) 1

    Unless (1A) applies to the firm, where,25 in accordance with DISP 1.10.1 R, a firm submits a report to the FCA reporting 500 or more complaints, it must publish a summary of the complaints data contained in that report (the complaints data summary).

    25
  2. (1A)
    1. (a)

      This paragraph applies to a firm which:

      1. (i)

        has permission to carry on only credit-related regulated activities or to operate an electronic system in relation to lending3; and

      2. (ii)

        has revenue arising from those activities3 that is less than or equal to £5,000,000 a year.

        3
    2. (b)

      Where a firm to which this paragraph applies submits a report to the FCA in accordance with DISP 1.10.1 R reporting 1000 or more complaints, it must publish a summary of the complaints data contained in that report (the complaints data summary).25

  3. (2)

    Where, in accordance with DISP 1.10.1C R, a firm submits a joint report on behalf of itself and other firms within a group and that report reports 500 or more complaints, it must publish a summary of the complaints data contained in the joint report (the complaints data summary), unless it is a firm to which (1A) applies.25

  4. (3)

    Where, in accordance with DISP 1.10.1C R, a firm to which (1A) applies submits a joint report on behalf of itself and other firms within a group and that report reports 1000 or more complaints, it must publish a summary of the complaints data contained in the joint report (the complaints data summary).25

  5. (4)

    Where, in accordance with SUP 16.12.4 R and SUP 16.12.29C R, a firm with a limited permission submits data item CCR007 to the FCA reporting 1000 or more complaints, it must publish the total number of complaints received.25

Format of publication

DISP 1.10A.2 R

The complaints data summary required by DISP 1.10A.1 R must be published in the format set out in DISP 1 Annex 1B R.

Time limits for publication

DISP 1.10A.3 R
  1. (1)

    Where the firm's relevant reporting period (as defined in DISP 1.10.4 R or DISP 1.10.4A R as the case may be25) ends between 1 January and 30 June, the firm must publish the complaints data summary no later than 31 August of the same year.

  2. (2)

    Where the firm's relevant reporting period (as defined in DISP 1.10.4 R or DISP 1.10.4A R as the case may be25) ends between 1 July and 31 December, the firm must publish the complaints data summary no later than 28 February of the following year.

  3. (3)

    Where the firm is a firm with only a limited permission and its accounting reference date falls between 1 January and 30 June, the firm must publish the total number of complaints received no later than 31 August of the same year.25

  4. (4)

    Where the firm is a firm with only a limited permission and its accounting reference date falls between 1 July and 31 December, the firm must publish the total number of complaints received no later than 28 February of the following year.25

Confirmation of publication

DISP 1.10A.4 R

A firm must immediately confirm to the FCA , in an email submitted to complaintsdatasummary@fca.org.uk , that the complaints data summary or total number of complaints (as appropriate)25 accurately reflects the report submitted to the FCA , that the summary or total number of complaints (as appropriate)25 has been published and where it has been published.

Publication on behalf of the firm

DISP 1.10A.5 E

A firm will be taken to have complied with DISP 1.10A.1R (1), DISP 1.10A.1R (1A)25(2) , DISP 1.10A.1R (3) or DISP 1.10A.1R (4)25 if within the relevant time limit set out in DISP 1.10A.3 R the firm:

2 5
  1. (1)

    ensures that another person publishes the complaints data summary or total number of complaints (as appropriate)25 on its behalf; and

  2. (2)

    publishes details of where this summary or total number of complaints (as appropriate)25 is published.

Joint reports: provision of information to third party on request

DISP 1.10A.6 R

Any firm covered by a joint report, other than the firm that submitted the joint report, must provide details of where the complaints data summary or total number of complaints (as appropriate)25 is published to any person who requests them.

Mode and content of publication

DISP 1.10A.7 G

Firms may choose how they publish the complaints data summary or total number of complaints (as appropriate)25. However, the summary or total number of complaints (as appropriate)25 should be readily available. For this reason, the FCA recommends that firms should publish the summary or total number of complaints (as appropriate)25 on their websites.

DISP 1.10A.8 G

[deleted]4

Meaning of revenue

DISP 1.10A.9 G

2 5In DISP 1.10A, references to revenue in relation to any firm do not include the amount of any repayment of any credit provided by that firm as lender.

Publication of complaints data by the FCA

DISP 1.10A.10 G
  1. (1)

    4To improve consumer awareness and to help firms compare their performance against their peers, the FCA publishes:

    1. (a)

      complaints data about the financial services industry as a whole; and

    2. (b)

      firm-level complaints data for those firms that are required to publish a complaints data summary or the total number of complaints (as appropriate) under DISP 1.10A.1R.

  2. (2)

    The FCA also publishes firm-level information giving context to the complaints data reported to it for those firms that are required to publish that information under DISP 1.10A.1R.

DISP 1.10A.11 G

4For firms reporting 500 or more complaints under DISP 1.10.1R(1) or 1000 or more complaints under DISP 1.10.1R(2) in the relevant reporting period, the FCA will publish the firm-level complaints data and information providing context to the complaints data reported to it either:

  1. (1)

    after the firm provides the appropriate consent in the complaints data report and confirms that the reported data accurately reflects the data which it will publish under DISP1.10A.1R; or

  2. (2)

    after the FCA receives an email from the firm under DISP 1.10A.4R confirming that the complaints data summary accurately reflects the report submitted to the FCA, that the summary has been published and where it has been published.

DISP 1.10A.12 G

4For firms with only a limited permission that report complaints to the FCA under the reporting requirements in SUP 16.12, the FCA will publish the firm-level complaints data reported to it after the FCA receives an email from the firm under DISP 1.10A.4R. That email should confirm that the total number of complaints accurately reflects the report submitted to the FCA under SUP 16.12, that the total number of complaints has been published and where the information has been published.

DISP 1.11 The Society of Lloyd's

Complaints handling procedures1

DISP 1.11.1 R

The Society must establish and maintain appropriate and effective procedures for handling complaints by policyholders against members of the Society which comply with this chapter.

DISP 1.11.2 R

A member of the Society must, in complying with this chapter, ensure that the arrangements which the member maintains are compatible with the Lloyd's complaint procedures, so that, taken as a whole, the requirements of this sourcebook are met.

DISP 1.11.2A R

2 3The Society must ensure that the arrangements which the member maintains include a requirement which corresponds to DISP 1.2.1 R (4) (Publishing and providing summary details, and information about the Financial Ombudsman Service).

[Note: article 13 of the ADR Directive and article 14 of the ODR Regulation]

DISP 1.11.3 R

The Society must take reasonable steps to ensure that complaints by policyholders against members of the Society are dealt with under the Lloyd's complaint procedures and that members comply with the requirements of those procedures.

Referral to the Financial Ombudsman Service

DISP 1.11.4 R

A complaint by a policyholder against a member of the Society may not be referred to the Financial Ombudsman Service until after the Lloyd's complaint procedures have been completed or until after the end of eight weeks from receipt of the complaint, whichever is the earlier.

Exemptions for members

DISP 1.11.5 R
  1. (1)

    A notification claiming exemption under DISP 1.1.12 R from the complaints reporting rules and the rules relating to the funding of the Financial Ombudsman Service must be given to the FCA by the Society on behalf of any member eligible for an exemption.

  2. (2)

    The Society must notify the FCA if the conditions relating to such an exemption no longer apply to a member who is exempt.

Complaints reporting rule

DISP 1.11.6 R

The report to be sent to the FCA under the complaints reporting rules must be provided by the Society and must cover all complaints by policyholders against members falling within the scope of the complaints reporting rules.

Obligation to publish summary of complaints data

DISP 1.11.6A R

1Where, in accordance with DISP 1.11.6 R, the Society submits a report to the FCA reporting 500 or more complaints, it must publish a summary of the complaints data contained in that report (the complaints data summary).

Format of publication

DISP 1.11.6B R

1The Society must publish the complaints data summary in the format set out in the complaints publication form in DISP 1 Annex 1B R omitting details as to the firms and brands/trading names covered by the summary.

Time limits for publication

DISP 1.11.6C R

1The deadlines for publication of the Society's complaints data summaries are:

  1. (1)

    28 February for the summary of its report relating to the reporting period ending on 31 December of the previous year; and

  2. (2)

    31 August for the summary of its report relating to the reporting period ending on 30 June of the same year.

Confirmation of publication

DISP 1.11.6D R

1The Society must immediately confirm to the FCA, in an email submitted to complaintsdatasummary@fca.org.uk, that the complaints data summary accurately reflects the report submitted to the FCA, that the summary has been published and where it has been published.

Mode and content of publication

DISP 1.11.6E G

1The Society may choose how it publishes the complaints data summary. However, the complaints data summary should be readily available. For this reason, the FCA recommends that the Society publishes the summary on its website. The Society may publish further information with the complaints data summary to aid understanding.

Application to members

DISP 1.11.7 G

Each member of the Society is individually subject to the rules in this chapter as a result of the insurance market direction given in DISP 2.1.7 D23 under section 316 of the Act (Direction by a regulator).23

2 3 2 3
DISP 1.11.8 G

However, the Society operates a two-tier internal complaints handling procedure, currently set out in the "Code for Underwriting agents: UK Personal Lines Claims and Complaints Handling". Under this procedure, complaints by policyholders against members of the Society are considered by the managing agent and then, if necessary, by the Society's in-house Complaints Department. This procedure (and any procedure that may replace it) will be subject to the requirements in this chapter.

DISP 1.11.9 G

Members will individually comply with this chapter if and only if all complaints by policyholders against members are dealt with under the Lloyd's complaints procedures. Accordingly, certain of the obligations under this chapter, for example the obligation to report on complaints received and the obligation to pay fees under the rules relating to the funding of the Financial Ombudsman Service (FEES 5), must be complied with by the Society on behalf of members. Managing agents will not have to make a separate report to the FCA on complaints reported under the complaints reporting rules sent by the Society.

Complaints about the activities of members' advisers

DISP 1.11.10 R

A members' adviser must establish and maintain effective arrangements for handling any complaint from a member of the Society regarding advice given to the member in connection with the acquiring or disposing of syndicate participation.

DISP 1.11.11 G

Complaints from members of the Society regarding the activities of members' advisers, which cannot be resolved by the members' adviser, cannot be referred to the Financial Ombudsman Service.

Complaints from members or former members

DISP 1.11.12 G

The Financial Ombudsman Service is not able to deal with the complaints listed in DISP 1.11.13 R and separate rules and guidance are therefore required.

DISP 1.11.13 R

The Society must establish and maintain appropriate and effective arrangements for handling any complaint from a member or a former member about:

  1. (1)

    regulated activities carried on by the Society;

  2. (2)

    the Society'sregulatory functions carried on by the Society, the Council or those to whom the Council delegates authority to carry out such functions;

  3. (3)

    advice given by an underwriting agent to a person to become, continue or cease to be, a member of a particular syndicate; and

  4. (4)

    the management by a managing agent of the underwriting capacity of a syndicate on which the complainant participates or has participated.

DISP 1.11.14 R

The Society must maintain by byelaw one or more appropriate effective schemes for the resolution of disputes between an individual member or a former member who was an individual member and:

  1. (1)

    his underwriting agent; or

  2. (2)

    the Society.

DISP 1.11.15 R

For the purposes of DISP 1.11.13 R "individual member" includes a member which is a limited liability partnership or a body corporate whose members consist only of, or of the nominees for, a single natural person or a group of connected persons.

DISP 1.11.16 G

The schemes to which DISP 1.11.13 R currently refers are the Lloyd's Arbitration Scheme and the Lloyd's Members' Ombudsman respectively, but the Society may maintain other independent dispute resolution schemes in addition to, or instead of, either of these schemes.

DISP 1.11.17 G

The schemes referred to in DISP 1.11.13 R should be operationally independent of the Society.

DISP 1.11.18 G

An individual member or former member who was an individual member should not have access to the schemes referred to in DISP 1.11.13 R unless the complaints arrangements maintained by the Society have failed to resolve the complaint to his satisfaction within eight weeks of receiving it.

DISP 1.11.19 G

The Society should give the FCA adequate notice of all proposed changes to the byelaws relating to the schemes referred to in DISP 1.11.13 R.

DISP 1.11.20 G

When considering what is required to ensure the operational independence of the schemes referred to in DISP 1.11.13 R, or proposed changes in such schemes, the Society should take account of similar arrangements operated by the Financial Ombudsman Service.

DISP 1.11.21 R

A contravention of DISP 1.11.13 R or DISP 1.11.14 R does not give rise to a right of action by a private person under section 138D of the Act (Actions for damages) and each of those rules is specified under section 138D(3) of the Act as a provision giving rise to no such right of action.

DISP 1 Annex 1 Complaints return form

DISP 1 Annex 1 R

Complaints return form

This annex consists only of one or more forms. Forms are to be found through the following address:

Complaints return form -DISP 1 Annex 1 R341221567813910

DISP 1 Annex 1C Illustration of the online reporting requirements, referred to in DISP 1.10.2AR

R

This annex belongs to DISP 1.10.2A R -DISP 1 Annex 1C R

2 3 4

DISP 1 Annex 2 Application of DISP 1 to type of respondent / complaint7

4
DISP 1 Annex 2 G

1.141

The table below summarises the application of DISP 1. Where the table indicates that a particular section may apply, its application in relation to any particular activity or complaint is dependent on the detailed application provisions set out in DISP 1.

2.

In some cases the application of DISP 1 to firms depends on whether responsibility for the matter is reserved under an EU3 instrument to an incoming EEA firm'sHome State regulator. Reference should be made to the detailed application provisions set out in DISP 1.

3

Type of respondent/ complaint7

DISP 1.2 Consumer awareness rules

DISP 1.3 Complaints handling rules

DISP 1.4 - 1.8 Complaints resolution rules etc.

DISP 1.9 Complaints record rule

DISP 1.10 Complaints reporting rules

DISP 1.10A Complaints data publication rules4

firm 12 in relation to complaints concerning non-MiFID business (except as specifically provided for below)12

5

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4 G does not apply)

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants4

firm in relation to complaints concerning MiFID business

Applies for eligible complainants

Applies for retail clients (DISP 1.3.3 R does not apply)

Applies for eligible complainants

Applies for retail clients

Applies for eligible complainants

Applies for eligible complainants45

5 UK UCITS management company in relation to complaints concerning collective portfolio management services in respect of a UCITS scheme or an EEA UCITS scheme provided under the freedom to provide cross border services

Applies for Unitholders

Applies for Unitholders

Applies for eligible complainants

Applies for Unitholders

Applies for eligible complainants

Applies for eligible complainants

5 branch of a UK UCITS management company in another EEA State in relation to complaints concerning collective portfolio management services in respect of an EEA UCITS scheme

Applies for Unitholders

Applies for Unitholders

Does not apply

Applies for Unitholders

Does not apply

Does not apply

branch of a UKfirm (other than a UK UCITS management company when providing collective portfolio management services in respect of an EEA UCITS scheme)5 in another EEA State in relation to complaints concerning non-MiFID business

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply4

branch of a UKfirm in another EEA State in relation to complaints concerning MiFID business

Does not apply

Applies for retail clients (DISP 1.3.3 R does not apply)

Does not apply

Applies for retail clients

Does not apply

Does not apply4

incoming branch of an EEA firm (other than an EEA UCITS management company when providing collective portfolio management services in respect of an EEA UCITS scheme)5 in relation to complaints concerning non-MiFID business

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply4

incoming branch of an EEA firm in relation to complaints concerning MiFID business

Applies for eligible complainants

Does not apply

Applies for eligible complainants

Does not apply

Applies for eligible complainants

Does not apply45

5 incoming branch of an EEA UCITS management company in relation to complaints concerning collective portfolio management services in respect of a UCITS scheme

Applies for Unitholders

Applies for Unitholders

Applies for eligible complainants

Applies for Unitholders

Applies for eligible complainants

Does not apply

5 incoming EEA UCITS management company in relation to complaints concerning collective portfolio management services in respect of a UCITS scheme provided under the freedom to provide cross border services

Does not apply

Does not apply

Applies for eligible complainants

Does not apply

Applies for eligible complainants

Does not apply

incoming EEA firm providing cross-border services from outside the UK

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply4

branch of an overseas firm (in relation to all complaints)

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants4

payment service provider in relation to complaints concerning payment services

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply4

EEA branch of a UKpayment service provider in relation to complaints concerning payment services

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply4

incoming branch of an EEAauthorised payment institution in relation to complaints concerning payment services

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply4

incoming EEAauthorised payment institution providing cross borderpayment services from outside the UK

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply4615

6 15 electronic money issuer in relation to complaints concerning issuance of electronic money

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply

6 15 EEA branch of an authorised electronic money institution or an EEAbranch of any other UKelectronic money issuer in relation to complaints concerning issuance of electronic money

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

6 15incoming branch of an EEA authorised electronic money institution in relation to complaints concerning issuance of electronic money

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply

6 15incoming EEA authorised electronic money institution providing cross border electronic money issuance services from outside the UK

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply916

VJ participant

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4 G to DISP 1.3.5 G do not apply)

Applies for eligible complainants (DISP 1.6.8 G does not apply)

Does not apply

Does not apply

Does not apply4

7 complaints relating to auction regulation bidding

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply8

8a full-scope UK AIFM, small authorised UK AIF or an incoming EEA AIFM, for complaints concerning AIFM management functions carried on for an AIF that is a body corporate (unless it is a collective investment scheme)12

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

12a depositary, for complaints concerning activities carried on for an authorised AIF

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4G does not apply)

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

12a depositary, for complaints concerning activities carried on for an unauthorised AIF that is a charity AIF (other than a body corporate that is not a collective investment scheme)

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4G does not apply)

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

12a depositary, for complaints concerning activities carried on for an unauthorised AIF that is a UK ELTIF (other than a body corporate that is not a collective investment scheme)

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4G does not apply)

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

12a depositary, for complaints concerning activities carried on for an unauthorised AIF that is not a charity AIF or a UK ELTIF

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

8a depositary, for complaints concerning activities carried on for an unauthorised AIF that is a body corporate (other than a collective investment scheme)12.

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

Does not apply

8an incoming EEA AIFM, for complaints concerning AIFM management functions carried on for an authorised AIF or a UK ELTIF12 under the freedom to provide cross-border services

Applies for eligible complainants

Applies for eligible complainants (DISP 1.3.4G does not apply)12

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

10a CBTL firm in relation to complaints concerning CBTL business

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply

11 designated credit reference agency in relation to complaints about providing credit information

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply

13 designated finance platform in relation to complaints about providing specified information

Applies for eligible complainants

Applies for eligible complainants

Applies for eligible complainants

Does not apply

Does not apply

Does not apply

DISP 1 Annex 3 Appropriate wording for inclusion in a final response or written acceptance12

1 2The respondent does not consent to waive the six-month time limit in DISP 2.8.2 R (1)

(1)

“You have the right to refer your complaint to the Financial Ombudsman Service, free of charge – but you must do so within six months of the date of this letter.

If you do not refer your complaint in time, the Ombudsman will not have our permission to consider your complaint and so will only be able to do so in very limited circumstances. For example, if the Ombudsman believes that the delay was as a result of exceptional circumstances.”

1 2The complaint was received outside the time limits in DISP 2.8.2R(2) and the respondent does not consent to waive those time limits or the six-month time limit in DISP 2.8.2 R (1)

(2)

“You have the right to refer your complaint to the Financial Ombudsman Service, free of charge.

The Ombudsman might not be able to consider your complaint if:

• what you’re complaining about happened more than six years ago, and

• you’re complaining more than three years after you realised (or should have realised) that there was a problem.

We think that your complaint was made outside of these time limits but this is a matter for the Ombudsman to decide. If the Ombudsman agrees with us, they will not have our permission to consider your complaint and so will only be able to do so in very limited circumstances (see below).

If you do decide to refer your complaint to the Ombudsman you must do so within six months of the date of this letter.

If you do not refer your complaint to the Ombudsman within six months of the date of this letter, the Ombudsman will not have our permission to consider your complaint and so will only be able to do so in very limited circumstances.

The very limited circumstances referred to above include, where the Ombudsman believes that the delay was as a result of exceptional circumstances.”

1 2The complaint was received outside the time limits in DISP 2.8.2 R (2) and the respondent does not consent to waive those time limits but does consent to waive the six-month time limit in DISP 2.8.2 R (1)

(3)

“You have the right to refer your complaint to the Financial Ombudsman Service, free of charge.

The Ombudsman might not be able to consider your complaint if:

• what you’re complaining about happened more than six years ago, and

• you’re complaining more than three years after you realised (or should have realised) that there was a problem.

We think that your complaint was made outside of these time limits but this is a matter for the Ombudsman to decide. If the Ombudsman agrees with us, they will not have our permission to consider your complaint and so will only be able to do so in very limited circumstances. For example, if the Ombudsman believes that the delay was as a result of exceptional circumstances.

The time limit for referring complaints to the Ombudsman is usually six months but we will consent to the Ombudsman considering your complaint even if you refer the complaint later than this.”

1 2The respondent does not consent to waive the time limits in DISP 2.8.7 R relating to mortgage endowment complaints

(4)

“You have the right to refer your complaint to the Financial Ombudsman Service, free of charge — but you must do so within six months of the date of this letter.

The Ombudsman might not be able to consider your complaint if:

• you received a letter warning you that there was a high risk that your mortgage endowment policy would not produce a sum large enough to repay the target amount at maturity; and

• you’re complaining more than three years after you received that letter, and

• you’re complaining more than six months after the date on which we sent you a further communication notifying you when the three-year period would expire.

We think that your complaint was made outside of these time limits but this is a matter for the Ombudsman to decide. If the Ombudsman agrees with us, they will not have our permission to consider your complaint and so will only be able to do so in limited circumstances.”

1 2The respondent consents to waive all applicable time limits

(5)

“You have the right to refer your complaint to the Financial Ombudsman Service, free of charge.

Although there are time limits for referring your complaint to the Ombudsman, we will consent to the Ombudsman considering your complaint even if you refer the complaint outside the time limits.”

1 2Other circumstances not dealt with above

(6)

Where the respondent proposes to waive the time limits in DISP 2.8.2 R or DISP 2.8.7 R and appropriate wording for the respondent circumstances is not set out in (1) to (5), the respondent must adapt the appropriate wording as necessary.