Commentary on Sections Complaints Handling – the new system Section 157: Approved regulators not to make provision for redress
378.The OLC is to be the single point of entry for all complaints. This is subject to the requirement, in section 126, that complaints (except in specified circumstances) must, in the first place, be considered under the respondent’s internal complaints procedures.
379.The OLC will investigate complaints and provide redress, but it will report any possible misconduct to the relevant approved regulator, which will take any necessary disciplinary action. There is therefore a clear split between the power to consider redress (OLC), and consideration of disciplinary action (approved regulators). As part of the provision for this split, this section prohibits approved regulators from including in their regulatory arrangements any provision relating to redress (defined in section 157(4)).
380.In accordance with section 157(5) the prohibition on provision relating to redress does not prevent provision for certain types of arrangements: compensation arrangements, indemnification arrangements and certain regulatory arrangements (as specified in section 158).
381.Transitional arrangements cover proceedings in respect of complaints under way at the date of commencement of the OLC’s operations, which are made by order under section 211 (sections 157(2) and 157(3)).