FCA reinforces Consumer Duty outcomes monitoring expectations
FCA published guidance emphasising outcomes monitoring as central to Consumer Duty compliance and consumer harm identification.
The FCA stresses that outcomes monitoring is more than data collection, requiring firms to detect where customers struggle and act. Firms with weak monitoring MI or unclear escalation from data to action face heightened supervisory risk under the Consumer Duty.
Supervisory focus on Consumer Duty outcomes monitoring drives conduct risk and MI framework expectations.
Action Required
Review outcomes monitoring frameworks to ensure data captures actual customer experiences and emerging harms.
Consumer Duty outcomes monitoring remains a top FCA supervisory priority with direct enforcement implications.
Reassess Consumer Duty outcomes monitoring MI, ensuring metrics link to consumer harm, vulnerable customers and remediation triggers with documented board oversight.
“FCA blog reinforces that Consumer Duty outcomes monitoring must go beyond data collection to identify where customers struggle, spot emerging risks and deliver improved outcomes.”