Reuters reported that the UK’s financial regulator has slapped a 2.8 million pound fine on the company which administers mobile phone insurance sold by Phones 4u for poor handling of complaints.

PAS, which is responsible for customer relations, claims and complaints linked to insurance sold by mobile phone retailer Phones 4u, failed to “identify the root causes of recurring issues and put them right”, the FCA said.

PAS has employed a third party to review its complaints processes following the FCA investigation and paid compensation to 1,438 customers.

The firm settled at an early stage of the investigation, qualifying for a 30 per cent discount. Without the discount the fine would have been 4 million pounds, the FCA said.

That’s rather an expensive fine, but more and more fines are in this region now.