The FCA has announced that nearly 20,000 financial promotions were withdrawn or amended in 2024 following its intervention.  It says that this is nearly twice the number in 2023.

It has highlighted concerns with cryptoasset, debt solutions, and claims management company (CMC) promotions. 9,197 CMC promotions were withdrawn in 2024. Many of these promotions were related to housing disrepair and motor finance claims targeted at vulnerable consumers.

In 2024, it continued its work with registered cryptoasset firms to comply with the Cryptoasset financial promotions regime and acted against firms that were illegally promoting cryptoassets to UK consumers. 

It also introduced the financial promotions approval gateway, requiring firms that want to approve financial promotions on behalf of unauthorised firms outside their group to apply to the FCA for approver permission. 

In addition, it carried on its work with finfluencers and took targeted action against 20 individuals who were interviewed under caution last year. It plans to continue to work with social media platforms to disrupt this activity, but says that significant work is still needed from all social media platforms to stop illegal financial promotions.

The FCA also issued 2240 warnings about unauthorised or potentially scam firms in 2024. 

It says that it expects firms to pay attention to the needs of customers with characteristics of vulnerability to make sure they are treated fairly. It continues to assess firms against the Consumer Duty and says standards are not being met across several sectors. It has seen firms communicate information to retail customers in unclear, unfair and potentially misleading ways, with some promoting products or services in a way that misleads customers about the risks involved. The Consumer Duty requires firms to put consumers at the heart of their business, produce products and services that are designed to meet customers' needs and to provide fair value.

It is also worth noting that although its powers are more limited than the CMA's powers, the FCA is listed as an enforcer under the new Digital Markets, Competition and Consumers Act 2024.  In the past, it has taken action on unfair terms and conditions under the Consumer Rights Act 2015.

If you would like more information about the Act, visit our Get DMCC Ready hub.