What are the banking disputes trends in 2024?

Key findings of the 2024 report:

• The Banking and Finance sector had the highest volume of new High Court claims filed in 2023. Our report looks at the types of claims being filed.
• 2023 demonstrated the “long tail” of market events with claims still being filed following the collapse of Lehman Brothers. In contrast, there is also evidence of a more recent trend of claimant law firms looking to file claims quickly after market events to establish themselves as the lead claimant firm on a matter.
• The Financial Ombudsman Service has reduced pending complaint volumes and wait times for decisions over the last year. During 2024, the FOS is expecting a growing number of complaints regarding fraud, a rise in complaints regarding irresponsible lending, a rise in complaints regarding account closures, and at least the same volume of complaints regarding motor finance.
• Use of the British Banking Resolution Service by SMEs remains subdued and the future of the BBRS remains uncertain.
• Various interest groups are calling for a new banking dispute resolution tribunal to be formed.
• Arbitration is consistently used by the Banking and Finance sector to determine disputes. Data from the LCIA shows that the Banking and Finance sector has accounted for 25% of its total caseload on average over the last 6 years.

We also take a deeper dive into the following banking litigation hot topics for 2024:

• Debanking
• Class actions
• Motor finance commission claims
• ESG litigation
• The future of the Quincecare duty
• Redress schemes