Thousands of complaints made to ombudsman are unresolved
THOUSANDS of complaints made to the State office that investigates grievances about financial services remain unresolved.
This has raised questions about the statutory office having sufficient resources to carry out its work.
More than 4,600 complaints to the Financial Services and Pensions Ombudsman (FSPO) remain unresolved, with 2,865 of them remaining unresolved more than 12 months after being received.
Sinn Féin finance spokesman Pearse Doherty was told in a Dáil reply that the ombudsman receives around 450 complaints a month.
The TD was told by Finance Minister Paschal Donohoe that all complaints to the ombudsman are subject to an initial review within five working days of receipt.
If they are assessed as falling within the jurisdiction of the office, the team will write to the complainant to outline the required information.
There are currently 548 files at the assessment stage awaiting assignment to an officer, with information due to come back from complainants to allow them to progress.
Mr Doherty voiced concern over the number of complaints that are unresolved.
He called on the ombudsman to explain the reasons for the backlog, with further complaints expected as a result of bank and insurer conduct since the beginning of the pandemic.
Mr Doherty said, “Figures obtained through a parliamentary question to the Minister for Finance raise questions around the capacity of the Financial Services Ombudsman to process complaints made by consumers.
“This backlog demands a response from the ombudsman.”
Mr Doherty said that if the ombudsman office lacks resources or specialist staff, it must be made known.
The ombudsman service is majority funded by a levy on the industry.
The TD said that since March 2019 the ombudsman has received 2,581 bank complaints and 1,511 insurance complaints.
“We know that borrowers have had difficulties accessing relief from banks as a result of income lost during the pandemic,” he said.
“We also know that businesses have been refused valid claims from insurers for business interruption as a result of the pandemic.”
He said last week’s High Court judgment against FBD Insurance means the ombudsman is likely to receive even more complaints.
Ombudsman Ger Deering said that since the start of 2018 the FSPO office has received 16,000 complaints.
This is in addition to the more than 3,000 complaints inherited from its predecessor, the Financial Services Ombudsman.
During the three-year period, around 15,000 complaints were closed.
“As part of its ongoing strategy to enhance the quality and speed of its service, the FSPO succeeding in closing 6,200 complaints in 2020, an increase of 36pc on the previous year; 2020 was the first year that the FSPO closed more complaints than it received.”
Additional staff were recruited last year and the office committed to continuing to improve the quality of its services, Mr Deering said.