Written Question
Monday 21st July 2025
Asked by:
Gagan Mohindra (Conservative - South West Hertfordshire)
Question
to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to preserve the protections afforded to victims of fraud through the Financial Ombudsman Service's fair and reasonable remit during the current review into that service.
Answered by Emma Reynolds
- Secretary of State for Environment, Food and Rural Affairs
On 15 July the government set out the conclusions and next steps of the Economic Secretary’s review of the Financial Ombudsman Service (FOS), which can be found here: https://www.gov.uk/government/consultations/fs-sector-strategy-review-of-the-financial-ombudsman-service
The review concluded that in the majority of cases, the FOS fulfils its role as a simple, impartial dispute resolution service. However, in a small but significant minority of cases, the FOS is acting as a quasi-regulator. To stop this the government is now consulting on a package of reforms to the FOS, to improve the regulatory coherence between the FOS and the Financial Conduct Authority (FCA) and provide greater certainty and predictability for firms and consumers.
The review also concluded that the FOS should retain the ‘Fair and Reasonable’ test for determining cases. The government is proposing to adapt the test to align it more closely to the FCA’s rules where, as the UK’s dedicated conduct regulator for financial services, the FCA has an objective to ensure an appropriate degree of protection for consumers and continues to prioritise fighting financial crime.
The government is committed to ensuring the FOS continues to provide customers with a cost-free route to easily resolve disputes with firms, including in cases relating to fraud.
Written Question
Monday 21st July 2025
Asked by:
Gagan Mohindra (Conservative - South West Hertfordshire)
Question
to the HM Treasury:
To ask the Chancellor of the Exchequer, when she plans to conclude the review into the Financial Ombudsman Service.
Answered by Emma Reynolds
- Secretary of State for Environment, Food and Rural Affairs
On 15 July the government set out the conclusions and next steps of the Economic Secretary’s review of the Financial Ombudsman Service (FOS), which can be found here: https://www.gov.uk/government/consultations/fs-sector-strategy-review-of-the-financial-ombudsman-service
The review concluded that in the majority of cases, the FOS fulfils its role as a simple, impartial dispute resolution service. However, in a small but significant minority of cases, the FOS is acting as a quasi-regulator. To stop this the government is now consulting on a package of reforms to the FOS, to improve the regulatory coherence between the FOS and the Financial Conduct Authority (FCA) and provide greater certainty and predictability for firms and consumers.
The review also concluded that the FOS should retain the ‘Fair and Reasonable’ test for determining cases. The government is proposing to adapt the test to align it more closely to the FCA’s rules where, as the UK’s dedicated conduct regulator for financial services, the FCA has an objective to ensure an appropriate degree of protection for consumers and continues to prioritise fighting financial crime.
The government is committed to ensuring the FOS continues to provide customers with a cost-free route to easily resolve disputes with firms, including in cases relating to fraud.
Speech in Commons Chamber - Tue 28 Jun 2022
Oral Answers to Questions
"12. What fiscal steps his Department is taking to support small and medium-sized enterprises. ..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 28 Jun 2022
Oral Answers to Questions
"There are more than 7,000 businesses in my constituency, producing excellent products and services in a range of industries. I have held several informative high street walkarounds in towns across my constituency, hearing at first hand from local entrepreneurs, many of whom are worried about competition from online businesses. Will …..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 28 Jun 2022
Oral Answers to Questions
"T8. Yesterday morning, I had the pleasure of hosting a roundtable discussion with farmers from my constituency in collaboration with the National Farmers Union. My constituent Andy Cornthwaite informed me that he was struggling to employ extra staff to grow his business due to the current £85,000 VAT threshold. I …..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 17 May 2022
Tackling Short-term and Long-term Cost of Living Increases
"It is an honour to speak in the debate on Her Majesty’s Gracious Speech. I wish to cover three topics in my limited time: security, the economy and planning.
Hon. Members will be aware that the Northwood NATO base is in my constituency, which it is a real privilege to …..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 17 May 2022
Tackling Short-term and Long-term Cost of Living Increases
"I absolutely agree with my hon. Friend, and I feel as though she was looking over my shoulder because that is exactly the next point in my speech.
Introducing a Bill for local growth, giving further powers to local leaders to regenerate their own area and reforming our planning system …..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 02 Nov 2021
Oral Answers to Questions
"11. What steps his Department is taking to manage the public finances effectively. ..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Tue 02 Nov 2021
Oral Answers to Questions
"I welcome the new fiscal rules set out by my right hon. Friend in his Budget last week, which will mean that the Government borrow only to invest and that they get the debt falling again by 2024. Does he agree that, unlike the Labour party, which has no plan …..."Gagan Mohindra - View Speech
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Speech in Commons Chamber - Wed 08 Sep 2021
Health and Social Care Levy
"It is an honour to follow the hon. Member for Gordon (Richard Thomson), although I did not always agree with what he said.
I have spoken in this place on multiple occasions about the need for a long-term plan that addresses social care in this country, so I welcome the …..."Gagan Mohindra - View Speech
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