FCA Finfluencer Enforcement Jumps 174% as Social Media Investment Risks Grow

Freedom of Information data obtained by BrokerChooser shows a sharp rise in UK regulatory action against financial influencers, while separate research suggests many retail investors are still losing money after acting on social media advice.

7 October 2026 — UK regulators have sharply increased enforcement against financial influencers, or “finfluencers”, as concerns grow over misleading investment content circulating across social media.

A new analysis from BrokerChooser, based on Freedom of Information requests to the Financial Conduct Authority and other regulators, found that FCA enforcement actions against finfluencers rose 174% in 2025, from 27 actions in 2024 to 74 in 2025.

The increase marks a significant escalation from earlier years, when enforcement remained relatively limited. The FCA recorded just six actions in 2021, four in 2022 and one in 2023.

BrokerChooser’s research also found that more than two in five UK consumers who acted on social media investment advice said they had lost money, highlighting the financial risks surrounding online trading and investment content.

FCA enforcement rises sharply

Between 2020 and 2025, the FCA recorded 112 enforcement actions against financial influencers, ranging from warning alerts and interviews under caution to criminal proceedings and arrests.

In 2025 alone, the regulator recorded:

50 warning alerts
11 interviews under caution
7 cease-and-desist letters
3 criminal actions
3 arrests

That brought the total to 74 actions, compared with 27 in 2024.

However, the research also found that only a relatively small proportion of cases progressed to criminal action.

Between 2020 and 2025, just 12 criminal actions were recorded, alongside three arrests, while warning alerts and interviews remained the FCA’s most commonly used tools.

Social media remains a difficult enforcement environment

One of the challenges regulators face is the speed and scale of online content.

Influencers can distribute financial advice to large audiences almost instantly, often framing promotional content as education or personal experience. According to BrokerChooser, this can create a regulatory grey area that makes formal enforcement more difficult.

Content can also be deleted, edited or re-uploaded before regulators intervene.

For retail investors, this creates a market where misleading or incomplete information can spread much faster than enforcement mechanisms can respond.

The risks are particularly relevant for inexperienced investors who may not recognise the difference between regulated financial advice and promotional content.

80% of trading videos studied contained potentially misleading information

BrokerChooser also cited an earlier analysis of 100 TikTok trading videos, which found that only 6% encouraged viewers to conduct their own research.

By contrast, 80% contained potentially misleading information.

The research found that problematic content often focused on displays of wealth, rapid returns or supposedly low-risk investment opportunities.

Those messages can encourage emotionally driven decision-making and fear of missing out, particularly when viewers are encouraged to act quickly.

BrokerChooser warned investors to be cautious of any content presenting investment returns as easy, guaranteed or effectively risk-free.

Older and wealthier men are a key risk group

The research also highlights an important demographic issue.

According to BrokerChooser, FCA data indicates that older, more affluent men are among the groups most represented in financial and investment scam victim data.

That challenges the assumption that younger social media users are always the most exposed to online investment risks.

Older investors may have larger pools of investable capital and therefore potentially larger losses when scams or misleading promotions succeed.

The finding also suggests financial literacy campaigns may need to target a broader range of age groups rather than focusing primarily on younger users.

Regulation helps, but does not eliminate risk

Adam Nasli, Head Broker Analyst at BrokerChooser, said investors should be particularly cautious when investment products cannot be accessed through regulated brokers overseen by bodies such as the FCA, SEC or major European regulators.

He noted that regulation cannot eliminate market risk or fraud entirely, but can reduce the likelihood of misleading practices and poor investor protections.

The same principle applies to newer technologies such as social trading and AI-based investing tools.

AI can support research and decision-making, but BrokerChooser warned that relying on AI alone for portfolio construction, market timing or asset allocation should not be treated as prudent financial behaviour.

Global regulators are increasing scrutiny

The UK is not acting alone.

BrokerChooser submitted Freedom of Information requests to regulators including the FCA, France’s Autorité des Marchés Financiers, several Canadian securities commissions, the Australian Securities & Investments Commission and the UAE Securities and Commodities Authority.

The data showed that Canada recorded 277 actions, more than double the UK’s 112 over the same period.

The comparison suggests enforcement intensity varies considerably between jurisdictions even as regulators globally attempt to address illegal financial promotions on social platforms.

For trading platforms and brokers, this trend is likely to increase pressure around influencer partnerships, disclosure standards and promotional compliance.

What this means for retail traders

The sharp rise in enforcement reflects a broader shift in how regulators view financial content on social media.

Finfluencers are becoming an increasingly important part of the retail investment ecosystem, particularly in markets such as crypto, forex, CFDs and equities.

But the line between financial education, opinion and regulated promotion can be difficult for users to identify.

For retail traders, that makes basic checks increasingly important: whether the person providing the advice is authorised, whether the platform is regulated, and whether the claimed returns are realistic.

The FCA’s rise in enforcement shows regulators are paying more attention.

The bigger challenge is whether enforcement can keep pace with the volume and speed of content being produced.

About BrokerChooser

BrokerChooser is an online broker comparison and research platform that provides analysis of trading platforms, brokerage services and investor tools.

Its research also covers trading behaviour, financial education and investor protection.