Story perspectives

Nationwide Fined £44 Million for Failing Anti-Fraud Controls

12/12/2025

Summary

Story summary

Financial Conduct Authority fines Nationwide Building Society £44 million for inadequate anti-financial crime controls from October 2016 to July 2021.
The FCA found Nationwide failed to monitor personal accounts effectively, enabling misuse for business activities.
In one case, a customer received £27.3 million in fraudulent Covid furlough payments, with £800,000 unrecovered.
Therese Chambers of the FCA criticized Nationwide for not addressing the weaknesses promptly.

History

Historical Context

The Financial Services Act 2012 established the Financial Conduct Authority (FCA) to enhance consumer protection following the failures of the Financial Services Authority (FSA) during the 2008 financial crisis. In 2022, the FCA fined Nationwide Building Society £44 million for inadequate account monitoring, highlighting ongoing challenges in financial oversight, including £27.3 million in fraudulent Covid furlough payments.

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Story summary

Financial Conduct Authority fines Nationwide Building Society £44 million for inadequate anti-financial crime controls from October 2016 to July 2021.
The FCA found Nationwide failed to monitor personal accounts effectively, enabling misuse for business activities.
In one case, a customer received £27.3 million in fraudulent Covid furlough payments, with £800,000 unrecovered.
Therese Chambers of the FCA criticized Nationwide for not addressing the weaknesses promptly.

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