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The Financial Conduct Authority (FCA) published findings from its review into how firms monitor consumer outcomes under the Consumer Duty. The review examined firms' approaches to identifying whether customers receive good outcomes across the four Consumer Duty outcomes: products and services, price and value, consumer understanding, and consumer support. The FCA identified that the strongest approaches to outcomes monitoring were structured and evidence-based, with clear frameworks aligned to customer journeys and defined outcome expectations. Effective firms used data and management information (MI) to identify risks, make decisions, and demonstrate how monitoring led to improved customer outcomes. The FCA found that firms monitoring specific stages of the customer journey, rather than relying on high-level indicators alone, built clearer pictures of how outcomes develop and identified where customers faced greater risk of harm. Governance arrangements that supported regular reviews, effective escalation routes, and clear accountability for action produced measurable improvements over time. The FCA also identified several areas where firms need to strengthen their approach. Many firms had monitoring frameworks that lacked clear focus on customer outcomes or risks of harm, with high-level descriptions that did not translate into specific outcome definitions at each customer journey stage. Some firms collected relevant MI but could not demonstrate how it led to decisions or improved outcomes. Governance structures, while formally described, often did not clearly show how issues moved through the organisation or how boards used information to challenge performance and drive improvements. The FCA noted that culture, while frequently emphasised through training, was often not reflected in actual behaviour, decision-making or staff incentives. The review applies to all firms subject to the Consumer Duty across all sectors, including manufacturers and distributors responsible for monitoring customer outcomes and senior management overseeing outcomes monitoring.

On July 27, 2026, the Financial Conduct Authority (FCA) published the findings of its review into how firms monitor consumer outcomes under the Consumer Duty, highlighting good practices and areas for improvement. The review examined firms' approaches to identifying whether customers receive good outcomes across the four Consumer Duty outcomes: products and services, price and value, consumer understanding, and consumer support. Key findings from the FCA include: Good practice Firms defined good outcomes product by product and stage by stage across the customer journey, rather than issuing a single broad statement. Thresholds and targets were evidenced, reviewed at least annually and sometimes set above historic performance to drive improvement. Stronger firms triangulated complaints, customer feedback, performance data and outcomes-based testing rather than relying on a single measure. Monitoring produced demonstrable change. Examples included ending two affiliate relationships after rejected-applicant testing, and cutting average first response time from 22 hours to under two minutes after introducing in-app chat. Governance showed clear senior accountability, escalation routes and action trackers with named owners and target dates, with outcomes reported to the board throughout the year. Firms monitored outsourced and distribution chain arrangements on a proportionate, risk-based basis, recognising they remain responsible for customer outcomes. Areas for improvement Frameworks were often high level, with no clear definition of good and poor outcomes and no evidence behind thresholds. Operational activity metrics such as conversion rates were used as proxies for customer outcomes. Firms relied on lagging indicators and lacked complete audit trails from issue identification through to action and outcome. Remedies were agreed but not tested, so it was unclear whether repeat contact or unresolved journeys had actually reduced. Vulnerability MI was aggregated rather than segmented by drivers such as health, financial resilience or life events. Boards reviewed and approved reports rather than challenging them. Firms described governance structures rather than how they operate day to day ( PRIN 2A.8.4R and 2A.8.5R ). Culture was described and supported by training but not evidenced in behaviour, accountability or incentives.

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Financial Conduct Authority Publishes Outcomes Monitoring Review Identifying Good Practice and Improvement Areas

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UK's Financial Conduct Authority Publishes Good Practice and Improvement Areas for Monitoring Consumer Outcomes