The City watchdog is to issue a damning verdict on the way staff at financial services companies are encouraged by sales incentive schemes to pressure customers into buying inappropriate products. Such schemes led to the mis-selling of payment protection insurance to hundreds of thousands of consumers, which ended with a £9billion compensation bill. The Financial Services Authority report is the culmination of a year-long investigation into the incentive schemes operated by 20 of the country’s biggest banks, insurance companies and building societies. Although the regulator has yet to make a final decision on the matter, it is unlikely to result in new rules or guidance, with the FSA hoping instead that companies will change their schemes voluntarily. However, it is understood that some of the worst offenders could face enforcement action and be hit with large fines.....Read more here: Banks could face fines on perks that promote mis-selling