We set out the final rules and guidance for a new Consumer Duty that will set higher and clearer standards of consumer protection across financial services and require firms to put their customers’ needs first. We also respond to feedback to CP21/36.
Update 27 February 2025: Change to Board champion expectations
We no longer expect firms to have a Consumer Duty Board champion, although they can retain the role should they wish to do so. Check our information for firms[2] for details. We will take steps to amend references to Board champions in FG22/5 in due course.
We are introducing rules comprising:
These outcomes relate to:
Our rules require firms to consider the needs, characteristics and objectives of their customers – including those with characteristics of vulnerability – and how they behave, at every stage of the customer journey. As well as acting to deliver good customer outcomes, firms will need to understand and evidence whether those outcomes are being met.
This policy and guidance is likely to interest:
The rules and guidance we are introducing come into force on a phased basis:
During the implementation period, we'll be hosting a series of industry events to help firms prepare for the new rules coming into force. If you’d like to hear more about future Consumer Duty events and related communications, please sign up for email updates[5].
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