Ombud Council AR 2026

PART B: PERFORMANCE INFORMATION

1. External Auditor’s Report: Predetermined Objectives Refer to the Financial Statements in Part F. 2. Situational Analysis 2.1. Service Delivery Environment

• Improved alignment and coordination of Ombud Scheme complaint handling processes The Council continued to promote coordination and consistency in the complaint-handling processes of the ombud schemes. Pursuant to section 177(1)(b) of the FSR Act and in anticipation of the consolidation of the FAIS Ombud’s functions into a broader ombud scheme, the Council implemented an action plan aimed at enhancing coordination and collaboration between the NFO and the FAIS Ombud. The key objectives included improving referrals between the schemes, aligning complaint handling approaches, harmonising terminology and reporting, as well as strengthening collaboration on consumer awareness initiatives. Following engagements with the Pension Funds Adjudicator, a separate action plan with the Pension Funds Adjudicator is at an advanced stage of development. • Using streamlined complaint information reporting to mitigate unfair customer outcomes The Council has implemented, and continues to enhance, a streamlined reporting framework for the ombud schemes. It requires ombud schemes to submit consistent quarterly complaint data to the Council. The Council analyses the data received from the schemes and shares the consolidated information with the Minister of Finance and the relevant regulators. Leveraging insights from the complaints data and the complaints-handling experiences of the financial ombud schemes, the Council identified several opportunities for supporting the financial sector regulators in mitigating identified financial sector conduct risks. The Council proposed three targeted opportunities: i. Specific areas of collaboration and sharing of ombud system data on complaints relating to digital banking fraud were facilitated between the NFO and the FSCA, to support the FSCA’s risk mitigation efforts in this regard. ii. Structured engagement and information sharing between the FSCA and the FAIS Ombud were facilitated to identify trends in intermediary misconduct, including inappropriate financial advice, mis-selling of financial products, and other intermediary conduct risks.

In the year under review, successes were achieved in the core deliverables of promoting the public’s awareness of the ombud system, streamlining and coordinating ombud scheme operations, and continuing to support ombud system reforms. A new focus area was using ombud system data collected from the ombud schemes, to support financial sector regulators in mitigating identified risks of unfair customer treatment. 2.1.1. Service delivery highlights: Key achievements during the reporting period include: • Promoting consumer awareness of the ombud system The Ombud Council made meaningful progress in delivering a wide range of financial education and consumer awareness initiatives across multiple platforms and media. By adopting a collaborative approach with the financial ombud schemes, the Financial Sector Conduct Authority, the National Credit Regulator and other key stakeholders, the Council promoted the alignment of consumer awareness and financial education messaging to support national financial literacy and inclusion objectives. Effective stakeholder relationship management resulted in the Council exceeding targets for outputs relating to publication of consumer awareness materials and for carrying out consumer awareness outreach activities. Awareness activities included several webinars, presentations, lectures, exhibitions, panel discussions with industry stakeholders, newsletter inserts, participation in the Money Smart Week South Africa (MSWSA) initiative and outreach programmes. These initiatives have raised awareness of consumer rights and the redress mechanisms available through the financial ombud system, strengthening visibility and accessibility of the ombud system in support of the broader national objectives of financial literacy and inclusion. Please refer to section 4.2.1 of this report for further examples of the Council’s consumer awareness initiatives.

Ombud Council 2025/26 Annual Report

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