The OFT has signalled its intention to refer the UK payment protection insurance (PPI) market to the Competition Commission.
Announcing the decision, OFT chief executive John Fingleton said: "Following the work we have undertaken it is clear that many consumers are failed by PPI - insurance which gives them a poor deal and often less protection than they think.
"There is limited evidence the industry is taking steps to improve the situation, but we believe they will not make major improvements to competition in the market. Given our evidence and the scale of this market, our provisional view is that it would be appropriate for the Competition Commission to investigate further.'
