Starting on 20 April 2026, the Financial Conduct Authority joined 16 other regulatory bodies around the world for a 'week of action' against 'finfluencers' - social media personalities who offer advice on personal finance and advertise products on behalf of financial services firms. The aim was to target social media accounts that had broken the law, and to raise awareness of the fact that promoting investment activity or carrying out regulated activity without being part of a regulated firm may amount to a criminal offence.

Ultimately, this resulted in more than 40 warnings being sent to unauthorised firms or individuals, and 120 account takedown requests in response to 1,267 illegal financial adverts. In its capacity as regulator for the UK's financial markets, the FCA has numerous powers at its disposal to take action against illegal and unregulated activity of this nature. As such, it is vital for regulated firms to understand when they can and can't use influencers to sell investment products, and for influencers themselves to become familiar with the regulations that apply in the financial services industry.

What Is a ‘Finfluencer’?

The term ‘finfluencer’ is shorthand for ‘financial influencer’ and refers to a person who uses social media platforms (such as TikTok, Instagram and others) to provide financial advice and advertise financial products. Content is often positioned as providing financial education or helping users to develop financial literacy and save money, and finfluencers may discuss budgeting, money trends or cryptocurrencies.

Finfluencer content commonly appears in the form of short videos and posts that simplify matters of money into easily digestible summaries as opposed to traditional consultations with financial advisors, that may involve in-person appointments, lengthy literature and conversations that aren’t easy to engage with. For these reasons, their content is often considered a more accessible way to gain financial knowledge. However, the fact that many of these social media personalities are unregulated creates significant risks for users who follow their advice.

Finfluencers content tends to reach audiences more present in the online sphere (typically younger people, although not always), and audiences who have limited experience with topics such as investments, financial portfolios and wealth management. In fact, the rise of the finfluencer has been closely tied to the younger generation’s interest in wealth creation outside of employment or entrepreneurship.

Finfluencer content is viewed positively in some respects, as it encourages young people to engage in more mature topics and recognise the importance of financial management. At the same time, the regulation of this sector by an independent public body - the FCA - is a vital part of protecting people from being treated unfairly or losing money after receiving bad investment advice.

What Risks to Personal Finance Is the FCA Trying to Address?

The fact that some individuals who partake in ‘finfluencing’ are not qualified or regulated persons is a significant risk that comes with relying solely on social media for financial advice. Often, finfluencers will advertise specific products by presenting lavish lifestyles (in many cases, falsely) to give the impression that they have the knowledge to provide the advice being sought after. Relying on finfluencer advice without verifying the person's credentials can result in consumers suffering substantially through poor investments or experiencing financial loss without appreciating the risks involved in the advice they have received.

In some circumstances, finfluencers may receive referral fees or promote products through sponsorship agreements. These agreements are not always disclosed to consumers despite legal requirements, and the incentives behind the social media adverts are not always clear. If finfluencer adverts or promotions take your interest, it is always advisable that you consult with a qualified, regulated person before taking any formal steps. You can use the FCA’s publicly available database of regulated persons to verify the qualifications of firms and individuals, and the advice that they are qualified to provide.

What Is the FCA Doing About Finfluencing? 

On 20 April 2026, the Financial Conduct Authority commenced its ‘week of action’ alongside financial regulators in a variety of other jurisdictions. Action included a medley of enforcement steps (including prosecution), educational programmes and awareness campaigns. Enforcement action likely turned on potential breaches of the restriction on unregulated persons promoting investment activity under section 21 of the Financial Services and Markets Act (FSMA) 2000, which is a criminal offence. The FCA may also have taken action against breaches of the general prohibition of undertaking regulated activity without the appropriate authorisations (section 20 of FSMA), which is also an offence.

A breach of section 20 carries a maximum six-month prison sentence if convicted in the Magistrates’ Court, or an unlimited fine (or both). Those convicted in the Crown Court could face a maximum two-year prison sentence and fine if convicted. The same applies for a breach of section 21.

Outside of enforcement action, the FCA has sent multiple requests for the removal of social media accounts, warning letters and alerts to certain firms. The published statistics suggest that 66% of the adverts targeted by the FCA were placed by individuals and firms who were already present on the FCA’s published warning list. One such individual who has been subject to enforcement action is Geordie Shore’s Aaron Chalmers, who has found himself pleading guilty in court for publications that breach the rules and regulations surrounding regulated financial activity.

Steve Smart, executive director of enforcement and market oversight at the FCA, has been quoted as saying: “This collective push with international partners is vital in helping to protect millions of consumers from harm. We will only make real progress in the fight against financial crime if every part of the system plays its role - including social media firms.”

How Can Regulated Professionals Protect Themselves?

Finfluencing by regulated and qualified persons can be a good thing. Educating young people through online and social media platforms promoting healthy financial attitudes can be a relatable way of introducing mature topics to a previously apathetic audience. It is, however, unfair and dangerous to consumers to allow finfluencers to advertise financial products that they cannot verify, or that they may not have incentive to question.

The FCA aims to ensure a level playing field and to protect consumers to ensure that financial products are handled with the appropriate skill and care, by fit and proper persons. This ‘week of action’ is not an isolated course of regulation. The FCA previously undertook a similar exercise in June 2025, and as long as finfluencer activity remains on the rise, so too will the FCA’s efforts in regulating the content published on social media.

As a regulated professional or organisation in the section, the recent enforcement against finfluencers sends a clear message that financial promotions on social media are a core regulatory risk area. Firms and regulated professionals can mitigate enforcement risk by treating all social media promotions as regulated activity, and not relying on platforms or influencers for compliance, but implementing robust approval and audit trails. Conducting thorough due diligence on “finfluencers” and partners is a sensible way to minimise the risk of working with unregulated individuals or businesses and falling afoul of the law.

Talk to Us

If you are concerned about FCA enforcement and need a full lifecycle compliance framework for financial promotions, or defence services during an investigation, contact JMW today. Call our expert regulatory defence solicitors today by calling 0345 872 6666 or using our online enquiry form to send us a message.