Homeserve sees customer complaints falling

EMBATTLED home repair and insurance group Homeserve said customer complaints had fallen by 42 per cent as it looks to recover from mis-selling allegations.

However, the cost of overhauling the group, which is the subject of an investigation by the Financial Services Authority (FSA), kept UK half-year profits flat at £26m after an 11 per cent drop in revenues to £134.5m. It said the FSA probe, which is looking into accusations of mis-selling of household emergency policies and failures in complaints handling, was expected to continue for “a number of months”.

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Efforts made so far to address issues and reinforce a “customer-focused culture” are starting to pay off with increased customer satisfaction and fewer complaints across the UK arm on a year ago, according to the group.

Homeserve, which has six million UK policies insuring against and repairing burst pipes and electrical problems, has been downsizing its UK operation.