“Urgent change” is needed to tackle how scams are promoted on Google, the FCA’s chair has said.

Charles Randell told the regulator’s annual meeting this morning that continued advertisements for high-risk investments on search engines is “deeply frustrating”.

While the watchdog has banned the marketing of unregulated investments like mini-bonds to retail investors, firms continue to purchase prize slots on Google to promote illiquid, speculative vehicles.

“Consumers need to be aware that if they buy an investment by clicking on a Google advertisement, without any further interaction with an authorised financial services firm, you stand to lose money, and you should not invest in that way any money you aren’t prepared to lose,” Randell said.

What the FCA can do about the situation is “limited”, however, according to Randell, given European legislation offers some protection to the likes of Google over responsibility for listings on its search engine.

Randell said it was particularly frustrating that Google “is not only earning money from the advertisements, but also earning money from us as we then have to try and post our own advertisements.”

“Urgent change is needed,” according to Randell, “if necessary through legislation”.