Navigating UK Financial Services Social Media Guidelines

The UK Financial Conduct Authority (FCA) has issued detailed guidance on how financial service organizations should moderate and manage comments on their social media platforms.

This guidance is primarily focused on ensuring that financial promotions and communications are fair, clear, and not misleading, even when shared or commented upon by third parties.

Responsibility for comments

Organizations are responsible for ensuring that all content, including user-generated comments that could be considered financial promotions, comply with FCA regulations. This includes monitoring comments to prevent the dissemination of misleading or non-compliant information. For more see: FCA, ConventusLaw

Tackling fraudulent posts and bots

The FCA emphasizes that firms are accountable for the content even if it is shared or commented on by third parties. This means that if a user shares a misleading promotion or makes a comment that could be seen as a financial inducement, the original firm could still be in breach of regulations. For more see: ConventusLaw

Consumer protection

The guidance highlights the need to protect consumers, particularly vulnerable ones, from misleading promotions. This includes moderating comments that may obscure required risk warnings or make exaggerated claims about financial products and services. For more see: FCA

Clear communication

All communications, including comments, should be monitored to ensure they remain fair, clear, and not misleading. Firms are advised to use software tools to help target and manage their social media content effectively. For more see: FCA

Enforcement and compliance

The FCA has partnered with the Advertising Standards Authority (ASA) to help enforce these rules and has indicated that non-compliance could lead to enforcement actions. Firms must also ensure that influencers and other third-party promoters adhere to these guidelines when promoting financial products on social media. For more see: ConventusLaw

How Arwen helps

Arwen provides financial services, such as Oanda, the global foreign exchange business, with a cost-effective way to comply with these guidelines. Whereas brands like Oanda were previously relying on keyword filters and human review, they are now able to use Arwen's sophisticated AI to stay compliant 24/7. 

To find out more, speak to one of our advisors.