By Angie Newland – Angels Admin Support
An article that I read from City Wire this week called “Why Won’t Wealth Firms Discuss Complaints”
has made a really good point that I wanted to discuss/share with you all, which I will of course get
to, but first to give you a little background.
City Wire reported that Simplify Consulting had published a white paper and survey making the point
that 19% of clients had changed provider due to poor complaints procedures. It went on to state
that 100 wealth clients surveyed also found that 70% felt that it took longer than expected to get an
outcome from their complaint, along with the Financial Ombudsman showing a significant increase
in complaints being received over the last year.
Although these figures are an interesting read, the bit in the article that I found the most interesting
was this –
“However, when Citywire Wealth Manager reached out to numerous Wealth firms to discuss
handling complaints, few wanted to talk about their process. It’s a shame as many believe firms can
learn from the complaints they receive.”
This made me think about the many comments I have heard in the financial services space when a
firm is asked about complaints, or their complaints procedure, and yes City Wire do have a point
because there is a discomfort there with firms especially when they are asked if they have had any
complaints, there is also what seems to be a very defensive answer, it is most definitely not a subject
they like, or want to talk about, and I personally have heard firms say:
“No, we don’t get any complaints” - In a tone that indicates how dare you even suggest such a thing!
“We have had one complaint back in (insert year) and we don’t expect to get anymore” – Said in a
way that gives you the impression the complaint wasn’t valid, and also was most definitely not their
fault at all.
“Our clients have no need to complain, they are more than happy with the service we provide” –
This could be perceived as over confidence, and the FCA would most definitely ask the question here
- where is your proof that you provide such a good service, and that your clients are so happy, do
you have data/feedback to evidence this?
With this kind of attitude towards complaints, how are firms ever going to learn from mistakes made
or complaints received? does this mean that because they don’t like to talk about complaints and
are so convinced it will never happen to them, that their employees will not receive clear instruction
on dealing with complaints and the processes to follow, or any training? Also, if employees see that
this area is such a delicate subject with firms, then surely this will make them less likely to want to
report it if they have a complaint relayed to them, or about them personally, or the firm? – isn’t this
then a business risk?
We all make mistakes, and yes they can be costly to us, to our reputation, our ego, and our pockets,
but we would not be human if we didn’t occasionally make them, and in some ways the FCA may be
more likely to look at your firm in more detail if you are portraying yourselves as being so perfect
and never receiving any complaints or needing to make any changes – remember there is no such
thing as perfect!.
What do you think could or should be done to make Complaints a subject that firms want to talk
about and want to share their experiences/lessons learned with others? It certainly makes you think
doesn’t it!
Link to the article:
If you would like to see how we at Angels Admin Support can assist you with your complaints
procedures, staff training, culture, or any of the other things mentioned in this blog, then please do
get in touch, we would love to hear from you.
www.angelsadminsupport.co.uk
Email: angie@angelsadminsupport.co.uk