Firms put customers at risk of financial crime, FSA

The Financial Services Authority says a recent review of systems and controls used by UK financial services firms to prevent data breaches are failing customers and are a threat to the FSA’s statutory objective of reducing financial crime. In a warning to the industry, the FSA said many firms underestimate the risk of data loss and potential fraud and too frequently focus on the reputational damage that media coverage of a data breach would cause rather than on protecting customers.