FOS to up case fee to £550; free cases rise to 25 per firm

The Financial Ombudsman Service (FOS) is proposing to increase the individual fee for firms who have complaints against them from £500 to £550 per case, but will also up the number of 'free' cases to 25.

Currently firms are allowed three 'free' complaints against them, but after that the case fee applies. The FOS is proposing to raise the number to 25 for the year 2013/14 from April this year, but each case after that limit would cost firms £550 a time. In last year's corporate plan and budget, the FOS said that - after freezing the standard case fee at £500 for four years - it would be unlikely to be able to keep it at that level indefinitely. This was because of general inflationary pressures and a rising cost base, as well as significant changes to the product mix of its caseloa...