CONSUMER NETWORK FOR SCOTLAND MEETING

Thursday 19 June 2025

10:00 – 12:30

Edinburgh, Consumer Scotland Offices

Present:

Consumer Scotland – David Wilson (Chair); Sam Ghibaldan; Douglas White; Eleanor Mullan; Andy Murphy; Michael O’Brien; Kathryn Gill; Fraser Stewart

Advertising Standards Authority – Matt Wilson

Advice Direct Scotland – Pam Stewart

Competition and Markets Authority – Brendan McGinty

Competition and Markets Authority – Fizza Jabbar

Competition and Markets Authority – Lucy Stokes

Financial Conduct Authority – Phoebe O’Carroll-Moran

Citizens Advice Scotland – David Hilferty

Ofcom – Ross Hamilton

Trading Standards Scotland – Fiona Richardson

Transport Focus – Robert Samson

Trade Alliance Group – Craig Wilson

Which? – Tim Mouncer

Federation of Small Businesses – Vikki Manson

Advice Direct Scotland – Jillian Edmund

Citizens Advice Scotland – John Porter

Apologies:

Department for Business and Trade – Carol Rice

Chartered Trading Standards Institute – Tony McAuley

Scottish Public Services Ombudsman – Andrew Crawford

Federation of Small Businesses – Stacey Dingwall

Scottish Government – Jake Macdonald

Scottish Government – Wendy McCutcheon

SCOTSS – Alex Connell

 

1. Welcome and introductions

The Chair welcomed everyone to the meeting with a round of introductions, and thanked everyone for attending. Welcomed guest speakers and gave an overview of agenda.

2.  Minutes and matters arising

Members approved the minutes of the March 2025 Consumer Network meeting for publication on the Consumer Scotland website.

3. Consumer Detriment Survey Findings; Competition and Markets Authority

Fizza Jabbar began by giving an overview of the CDS, what type of study it is, sample sizes, scope etc.

Noted that the survey is the 6th iteration since 2008

Highlighted that CDS is beneficial in large part due to data being able to be compared over a number of years.

Underlined importance of advice agency data, which they use to feed into the surveys.

Advised that there are a number of lenses through which the survey views data: No of incidents, incidence rate, impact on consumer wellbeing, negative emotion, net monetised detriment.

Noted more detriment in services sector rather than in goods.

Total net monetised detriment - £71.2bn.

Gave an overview of consumer and complaint journeys once detriment has been identified, i.e. where consumers most likely to fall out of the process / how they respond and why.

Discussed purchase channels, and specifically which channels saw the most associated detriment, i.e. online (private individuals).

Noted difference in consumer detriment depending which devolved nation of the UK consumers were resident in:

“There were significant differences in the likelihood of experiencing detriment according to which of the UK’s four nations consumers lived in. Those living in Northern Ireland (64%) were less likely to have experienced detriment compared to those living in Scotland (69%), Wales (71%), and England (73%), although only the difference between England and Northern Ireland was significant”.

Underlined that there is additional relevant research ongoing in the areas of 1) whether certain consumer groups experience higher detriment, 2) dynamics between inflation and consumer detriment, 3) detriment across purchase channels, e.g. autorenewal / telephone.

4. Financial Lives Survey 2024; Financial Conduct Authority

Phoebe O’Carroll-Moran provided an overview of high-level information from the latest iteration of the survey.

Total of 17,950 respondents – fieldwork taking place between 5 February and 16 June.

Provides a fourth snapshot of consumers’ attitudes and financial circumstances since FCA’s first survey in 2017 – allows for comparison given study has now been running for a significant amount of time.

Selected key findings:

    • 13.1 million had low financial resilience in May 2024 (24% of all UK adults): not statistically different from May 2022 (24%, 12.9m).
    • 7.6m (14%) had low savings and little capacity to withstand financial shocks.
    • 7.3m (13%) were heavily burdened. Keeping up with domestic bills and / or credit commitments is a heavy burden.
    • 4.5m (8%) in financial difficulty. Missed domestic bills and/or credit commitments in 3+ of the last 6 months.
    • 1.6% of adults had no current account (2.1% in 2022).
    • 9.5m (17%) found it difficult getting to a branch using their normal forms of transport, and 3.0m (5%) to an ATM.
    • 6.5m (12%) had low financial capability – down from 7.4m (14%) in 2022.
    • 1.2m (2%) were digitally excluded (improved from 6.9m or 14% in 2017).
    • 2.8m (5%) had persistent credit card debt.
    • 7.0m (13%) never or rarely shop around for insurance.

Discussion followed on FCA’s new strategy for 2025-30, with some focus on following themes: advice / guidance boundary, insurance, impact of finfluencers, motor finance, financial inclusion.

5. An update on Heat Networks; Consumer Scotland, Citizens Advice Scotland Extra Help Unit, Advice Direct Scotland

Presentation from CS/EHU/ADS on the consumer support landscape that surrounds heat networks.

Overview initially from CS on what a heat network is and why it’s important.

Noted that heat networks are currently unregulated – Ofgem will be the regulator in GB from Jan ’26 onwards.

Underlined that ScotGov is responsible for heat network licensing and consents, and local authorities have identified potential heat network zones in their LHEES.

CS is the statutory advocate for heat network consumers in Scotland – working collaboratively with governments in Scotland and UK, regulator and industry to promote vision of heat networks as a sustainable and affordable heating solution.

CS is developing pipeline of evidence, including specific research projects to support this work.

Heat networks advice is being funded by CS and delivered in partnership with Advice Direct Scotland (Tier 1) and the Extra Help Unit at Citizens Advice Scotland (Tier 2).

ADS noted they are providing, as Tier 1 support to consumers, tailored support for households, advice on billing, usage and efficiency, and also clear and impartial guidance where regulation is currently limited.

EHU underlined that they provide, as Tier 2, referral-based advice where a customer is faced with especially vulnerable circumstances, or there is a high level of complexity.

6. Consumer Framework for Addressing Climate Change; Consumer Scotland

Presentation from CS on a new toolkit for policymakers on climate change, and how its application can be used to deliver more effectively for consumers.

CS has been expanding its evidence base in relation to climate change adaptation and mitigation – this has included commissioning research projects on issues such as 1) quantitative survey of consumers’ general attitudes to net zero, 2) qualitative research on consumers’ participation in the transition to net zero, 3) a survey of current and prospective electric vehicle drivers, 4) qualitative research with homeowners who had installed heat pumps and/or solar PV panels, and others besides.

Each project used different approaches / research methods to examine in detail consumers’ attitudes, experiences, beliefs, behaviours and perceptions related to the transition to net zero and wider climate change adaptation and mitigation.

Noted that, as a collective, these projects, along with other key literature from academia, government, and third sectors inform our approach to understanding Scotland’s response to climate change to ensure that this delivers effectively for consumers.

Worked in partnership to developing framework, and its purpose is to support governments, regulators, and businesses to better understand and engage current and future consumers in reducing emissions and adapting to climate change.

Noted there are key consumer considerations in the framework – the 4 Cs:

    • Cost – Any changes expected of consumers need to be affordable and the costs of responding distributed fairly.
    • Convenience - Any new products and services need to be designed in ways that fit easily into consumers’ lives.
    • Clarity - Consumers need to understand what they need to do and why.
    • Confidence - Consumers must be able to trust sustainable products and services, have strong protection, and have access to redress when things go wrong.

CS is engaging with stakeholders to explore uses for the framework within a range of contexts, including how the framework can help with impact assessments and policy development.

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