The Financial Conduct Authority (FCA) has set out plans to make it easier for around 10,000 firms to submit data on the complaints they receive.
Under the new proposals, five current returns will be merged into one, aiming to improve the quality of data and help the FCA spot potential consumer harm faster.
The FCA also said it will standardise the timing of data requests, making them more predictable for firms and easier for the regulator to process.
Sarah Pritchard, executive director for supervision, policy, competition and international at the FCA, said: “Streamlining the complaints data reporting process will ease unnecessary burdens on firms and strengthen our commitment to smarter, more effective regulation.
“These proposals will also help us collect better quality data on complaints received by firms which will help us spot and respond more quickly to harm as it arises.”
Brian Nimmo, head of redress at Broadstone, said: “The changes set out today by the FCA should eliminate unnecessary burden on firms while improving the ability of the regulator to monitor and tackle consumer harm.
“Accurate and timely data is critical to helping the regulator analyse where sectors or individual firms are falling short and require closer scrutiny.
“The changes are integral to achieving FCA’s objectives of improving outcomes, reducing the regulatory burden and the fair treatment of consumers.
“Any measures that help meet these criteria are to be welcomed.”
