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The increased workload from the mis-selling of Payment Protection Insurance (PPI) has left the Financial Ombudsman Service (FOS) with “a significant challenge”, the body has admitted.
The Ministry of Justice (MoJ) is meeting an IFA to hear his concerns over claims management companies (CMC) after he said they were unfairly targeting adviser firms.
Advisers have criticised the Ministry of Justice (MoJ) for failing to protect firms from invalid mis-selling cases levelled by claims management companies (CMCs).
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Claims against life and pensions intermediaries fell by a quarter last year according to the Financial Services Compensation Scheme (FSCS).
Unless the annual levy advisers pay to the Financial Ombudsman Service increases, case fees will have to rise from £360 to about £400, according to the FOS’s budget for 2006.
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