UK FCA consults on approach to implementing remedies from credit information market study

The UK Financial Conduct Authority (FCA) has published consultation paper CP26/7 outlining its proposed approach to implementing the FCA led remedies arising from the credit information market study. The study introduced a package of measures aimed at improving the credit information market, including proposed new FCA rules and guidance, reforms to industry governance arrangements and other industry-led remedies. A new Credit Information Governance Body is now in place and industry participants are progressing the industry-led remedies.

This consultation focuses on the FCA-led remedies, proposing new Handbook rules to improve the coverage, quality and consistency of consumer credit information. Specifically:

• Remedy 2A: a mandatory reporting framework requiring firms that share consumer credit information with at least one designated consumer credit reference agency (DCCRA) to share all such information with all DCCRAs. The FCA proposes to designate Equifax, Experian and TransUnion but allows for the designation of further credit reference agencies (CRAs) or the de-designation, if appropriate.
• Remedy 2D: requirements to improve data accuracy, error correction and dispute handling and to require firms to report satisfied County Court Judgments and decrees. Some obligations relate to information provided under the mandatory reporting requirement, while others have a broader application.

The FCA also sets out proposed next steps relating to Remedy 2C (DCCRA information reporting to the FCA) and Remedy 3A (signposting to statutory credit reports) but does not yet propose to consult on them.

• For Remedy 2C, the FCA plans to first gather relevant information from DCCRAs roughly one year after the mandatory reporting requirements take effect, to ensure any future rules are necessary, targeted and proportionate. Any future requirements would be subject to consultation.
• For Remedy 3A, the FCA notes that relevant firms should already be considering how they signpost consumers to statutory credit reports under the consumer duty, as set out in the FCA's portfolio letter dated 10 January 2025. The FCA will monitor firms' approaches and may consult on specific Handbook rules to implement this remedy, if consumer duty outcomes are not yet achieved.

The FCA proposes a 12‑month implementation period following publication of the policy statement, after which the new regime (including provisions on CRA designation) will come into force. Firms already sharing consumer credit information with a DCCRA will be subject to the requirements from that date, while first‑time providers will have a further six month lead‑in period before the mandatory reporting obligation applies. The deadline for comments on the consultation is 1 May.

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