The number of complaints made about financial products has increased by 70% in the past 12 months, the Financial Ombudsman Service has revealed.

In the first quarter of the financial year, from 1 April to 30 June, consumers raised 74,645 cases about financial products, compared to 43,953 complaints in the same period in 2023.

Professional representatives now account for around half of the complaints received by the ombudsman, compared to 17% in the first three months of the 2023/24 financial year.

The Financial Ombudsman Service said that using a professional representative does not necessarily lead to a more favourable outcome, with the latest data showing that in Q1, just a quarter (25%) of claims brought by professional representatives were upheld, compared to 40% of those brought directly by consumers to the regulator for free.

Most of the complaint issues brought by these representatives related to either irresponsible or unaffordable lending or motor finance.

Credit cards were the most complained about product in Q1 2024/25, with 18,175 complaints. The majority of these complaints were about perceived irresponsible and unaffordable lending, with over half being brought by professional representatives.

In recent months, the Financial Ombudsman Service has been consulting on a proposed case fee for professional representatives, aiming to make the fee model fairer and better reflect our costs, with an update on these proposals being provided in the coming months.

Chief executive and chief ombudsman at the Financial Ombudsman Service, Abby Thomas, said: "It’s concerning that we’re continuing to see large volumes of complaints, particularly considering the cost of living crisis.

"It’s vital that businesses are open and transparent with their customers, treating them with fairness and understanding. Whilst professional representatives have an important role to play, they must ensure that their cases are well evidenced and have merit.

"If consumers have a dispute with their bank or finance provider they can come directly to our easy-to-use service for free and we will see if we can help."

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