62% of Users Follow ‘Finfluencers’, FCA Cracks Down on Scams

The UK Financial Conduct Authority (FCA) is intensifying efforts to regulate financial influencers – or “finfluencers” – who are allegedly promoting unlicensed financial products on social media. With finfluencers being more popular than ever due to what they represent (a supposed authority on financial tools and tricks), the FCA announced it had issued 38 alerts against finfluencer accounts suspected of promoting unlawful services and was interviewing 20 influencers under caution.

The FCA’s data reveals a concerning trend: 62% of 18-29-year-olds follow financial influencers, and 74% of those followers report trusting their advice, leading many to make substantial financial decisions. Steve Smart, FCA’s Executive Director of Enforcement, highlighted the potential risks, noting the responsibility finfluencers have to ensure compliance, as followers—often young and financially inexperienced—are influenced by their recommendations.

As regulatory scrutiny intensifies, the FCA warns that even well-intended content can unintentionally cross into regulated territory. While finfluencers are incredibly popular and many have a good amount of knowledge on the subject of finances, their unique position means that their advice is also taken at face value very often – which makes them a very common partner for scam services who want to coax more users into falling for empty promises.

Even with the FCA’s crackdown, their data still shows that legitimate finfluencers are still incredibly popular. They transcend any specific fandom or niche set of interests, and with more than 60% of young adults following at least one financial influencer, they may end up being the next big target for brand sponsorships and influencer-led marketing campaigns.