Finance glossary
Consumer Duty
Also known as: FCA Consumer Duty
In simple terms
The Consumer Duty is an FCA rule that requires financial firms to act to deliver good outcomes for their customers — not just avoid doing harm.
On this page
What does Consumer Duty mean?
The Consumer Duty is a set of FCA rules, in force from 31 July 2023, that raises the standard of care financial firms owe their customers. Firms must act to deliver good outcomes rather than simply meeting minimum requirements.
It applies across products, price and value, customer understanding, and customer support.
How the Consumer Duty works
Firms must design products that meet customers’ needs, offer fair value, communicate clearly so customers can make good decisions, and provide helpful support without unreasonable barriers. The FCA supervises and can act against firms that fall short.
It is a regulatory standard firms must follow — not a compensation scheme you claim from directly.
How could this affect me?
The Duty should mean clearer information, fairer pricing and easier support — for example, cancelling a product should be as easy as buying it. If a firm treats you in a way that leads to poor outcomes, it may be breaching the Duty.
You can raise this in a complaint to the firm and, if unresolved, to the Financial Ombudsman Service.
Things to watch out for
- It is a standard firms must meet, not a fund you claim from.
- You still need to complain to get an individual problem put right.
- Poor value or confusing information may signal a breach worth raising.
Know your rights
- Under the FCA Consumer Duty (in force 31 July 2023), regulated firms must act to deliver good outcomes for retail customers across products, value, understanding and support.
- If a firm falls short you can complain and escalate to the Financial Ombudsman Service.
General information, not personal advice
Consumer Credit is an independent information service. We do not provide regulated financial advice or sell financial products. For advice on your own situation, speak to an appropriately authorised firm or a free service such as MoneyHelper. About Consumer Credit.
Sources
We checked this page against these official and authoritative sources.
- FCA, Consumer Duty (opens in a new tab). Accessed 22 Aug 2026.