Originally from Alternatives to the High Cost of Litigation

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Normally, dispute resolution involves two parties in conflict with each other. But the United Kingdom’s financial services regulators specialize in creating schemes where there is strictly speaking only one participant: the regulated firm that has broken their rules.

It’s dispute resolution with only one party. This A Note from the U.K. feature is a view of business reviews in the United Kingdom, and where they sometimes fall short.

The Financial Conduct Authority (FCA) and its predecessors, the Financial Services Authority (FSA) and the Securities and Investment Board (SIB), have all required those they regulate to review sales activities and offer compensation to customers who have never complained to either regulator or firm.