The Financial Ombudsman Service for small businesses has received more than 4,800 new cases from businesses so far this financial year. The data, which covers the period from the beginning of April to the end of November 2024, demonstrates the many challenges firms may face when dealing with their financial providers.
- FOS, which is free for consumers and accessible to 99% of small businesses in the UK, often hears from firms across a wide variety of industries including farming, hospitality and retailing, as well as traders such as plumbers, electricians and hairdressers.
- Fraud and scams remain the most common issue raised by these businesses, with over 1,000 complaints received in this category so far this financial year. This marks a significant rise compared to the same period last year, when around 600 fraud-related complaints were submitted.
- Beyond fraud, FOS has received over 900 complaints from businesses about their financial provider’s administration and customer service, including delayed letters and poor service-impacting operations. It has also heard from firms who were unhappy that their insurer declined their commercial motor and property insurance claims.
- Between April and November 2024, FOS also received around 140 complaints from charities, with administration and customer service topping their list of grievances.