UK Curbs Powers of Financial Ombudsman Service After Oversteps

The FOS has faced a flood of new cases in recent years, mostly about hidden commission in motor finance.

Photographer: Matt Cardy/Getty Images

The UK plans to curb the powers of the Financial Ombudsman Service after it acted as a “quasi regulator” during cases including the multibillion-pound motor finance scandal.

The UK Treasury said on Monday the changes will return the FOS to its “original role as a fast, impartial complaints body” and “restore clarity to the financial services redress system.”