A clampdown on social media influencers who illegally plug financial products online has intensified after the City regulator revealed it was interviewing 20 people under caution.
The move by the Financial Conduct Authority comes after it separately brought charges against nine people in May over an unauthorised trading scheme promoted by so-called finfluencers, or financial influencers, online.
The watchdog has become increasingly concerned about the explosion in recent years of influencers using their social media clout on platforms such as TikTok and Instagram to tout products and get-rich-quick schemes.
It warned in July last year that a “large number” of these promotions were illegal or non-compliant and that some influencers knew little about the schemes they were marketing. In March, the authority published new guidance