Why Misconduct Is No Longer Solely an HR Issue According to the FCA

From 1st September 2026, the FCA's non-financial misconduct (NFM) rules extended to non-banks, bringing an additional 37,000 regulated organisations into scope. The rules place serious workplace behaviour such as bullying, harassment and violence within the regulatory framework. In a recent article for FT Adviser, our CEO and co-founder Gemma McCall set out what this means for firms in practice.

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What does the FCA's whistleblowing data show?

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The FCA's Q2 2026 whistleblowing figures logged 333 new reports containing 886 allegations. Of those, 27 related to NFM, the category that most directly captures bullying, harassment and discriminatory behaviour. Gemma's reading of that number:

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"Twenty-seven whistleblower allegations reaching the regulator in a single quarter means a meaningful number of people felt existing internal routes were not enough."

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A report to an external body is rarely the first sign that something has gone wrong. It usually points to earlier chances to resolve a concern that were missed, which makes the quality of internal routes a practical question for every compliance leader.

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Why does trust in reporting matter?

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Our research found that 28% of UK employees have experienced bullying or harassment at work, and almost three in five chose not to raise it. The main reasons were fear of retaliation, a feeling that raising it would be futile, and fear of career impact. As Gemma puts it:

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"Employers need to look beyond whether a reporting procedure technically exists and ask whether employees genuinely trust it."

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Her article sets out what good looks like once a concern is raised: timely triage with a documented risk assessment, an independent investigator outside the reporting lines of those involved, an escalation route that does not run through the person accused, regular feedback to the person who raised it, retaliation checks afterwards, and regular reporting to senior leaders or the board. Offering more than one route, including anonymous reporting, helps remove the barriers that keep concerns unreported.

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How can firms use data to get ahead of problems?

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Individual cases only tell part of the story. Concerns handled informally and never recorded, or behaviour dismissed as "banter", build into poor cultures over time. Our Annual Report found that only 41% of organisations consistently aggregate and analyse speak-up data, which makes those patterns hard to see. Gemma's advice is direct:

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"Firms should be regularly aggregating and assessing misconduct and speak-up data to identify patterns and then using their reporting insights to inform preventative action."

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Viewing reports collectively over time can show recurring behaviours and the teams or locations where concerns are emerging, giving firms the chance to act earlier.

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Where to go next

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If your firm is newly in scope, read more about FCA non-financial misconduct and download our free checklist. Report + Support™ helps firms centralise reports, manage misconduct cases and spot patterns to support positive cultural change. You can read Gemma's full article on FT Adviser.