ILPC 2027

Misbehaviour in financial service and specifically the mis-selling of products and services is seemingly endemic in the UK, yet has thus far, failed to register as an issue that deserves serious scholarly attention. In accounting for mis-selling, Regulators have been quick to highlight failures of organizational controls, yet existing accounts fail to comprehend the role of individual employees, especially in the context of the control mechanisms exercised in retail financial services, that are vital in understanding how products are mis-sold on a widespread and systematic basis. This paper provides a case study of misbehaviour that leads to mis-selling and the dynamics between employees, managers and customers, to illuminate the conditions of possibility for mis-selling and in doing so, presents evidence to contest the contention that control, or lack thereof, lies at the heart of the mis-selling. The paper provides an analysis of the extent and forms of control within the retail financial services front-line environment and contributes to a theorisation of the way in which contemporary control practices work to facilitate rather than fetter mis-selling.