FCA has issued a policy statement confirming the increase in the FOS award limit. From 1 April, the limit that FOS can award against firms will be £350,000. This amount will apply in relation to complaints about actions on or after that date. For claims about actions before 1 April that are referred to FOS after 1 April, the limit will be £160,000 (rather than the current £150,000). Both new figures will be adjusted annually in line with inflation.
The extension of FOS jurisdiction to complaints from SMEs with annual turnover of under £6.5m, annual balance sheet of under £5m or fewer than 50 employees will also take effect on 1 April.