Not upheld: account closure and service delays in reclaim process complaint against Barclays Bank UK PLC

Decision detail

Summary

Mr G complained about Barclays closing his account and delays in returning his funds following the bank's decision to limit services to UK-based customers post-Brexit. Barclays provided notice in March 2024 for an October 2024 closure, but Mr G did not transfer his funds before the account closed on 8 October 2024. Mr G raised concerns about poor service, lack of support for his vulnerabilities, and delays in receiving his funds after submitting a reclaim form in April 2025. The ombudsman found Barclays acted fairly in making the commercial decision to close the account with appropriate notice, and while acknowledging service delays, determined the £50 compensation was reasonable and did not uphold the complaint.

The Ombudsman's reasoning

Barclays was entitled to make a commercial decision to limit services to UK-based customers following Brexit and provided appropriate notice (more than the required 60 days) for account closure. While service failings occurred, including delays in responding to letters and processing the reclaim form, these were not deliberate and Barclays was actively processing requests. The £50 compensation was reasonable given the impact and in line with FOS compensation principles. Barclays took appropriate steps to support Mr G's vulnerabilities by noting his needs and acknowledging them during calls.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website