Workplace misconduct – what the Gregg Wallace inquiry and new FCA rules mean for employers

On 14 July 2025, Lewis Silkin released an independent inquiry into workplace misconduct allegations against Gregg Wallace on MasterChef. The report upheld 45 of 83 allegations, including sexually explicit comments, bullying, racist language and unwelcome physical contact – spanning from 2005 to 2018.

While Wallace’s autism diagnosis was noted as potentially impacting his social awareness, the inquiry made clear that the real enablers were structural: inadequate training, weak complaints procedures and a culture of silence – especially among freelance staff – allowed misconduct to go unchecked.

This case resonates far beyond television. It highlights how even predictable working environments can incubate sustained workplace misconduct, and underlines the importance of having robust systems in place to prevent toxic behaviour from becoming embedded.

Echoes in finance – FCA’s non-financial misconduct regime

In the financial services sector, regulators are applying similar lessons. In July 2025, the Financial Conduct Authority (FCA) announced that its rules on non-financial misconduct – covering bullying, harassment, violence and discrimination – will be extended to all 37,000 FCA-regulated firms by September 2026 under the Senior Managers and Certification Regime (SMCR).

The FCA treats misconduct as a regulatory issue, not just an HR concern. Firms must discipline serious breaches, report them to the regulator and reflect them in regulatory references when individuals move between firms.

This shift is driven by rising incident reporting: cases of non-financial misconduct rose from 4.2 to 7.2 per 1,000 employees between 2021 and 2023. Yet outcomes remain limited – only 1-3% of disciplinary cases resulted in any bonus impact.

Shared failures – Culture and accountability

The MasterChef report and the FCA’s evolving rules point to systemic patterns in how workplace misconduct is enabled or overlooked across sectors. Four key themes stand out:

1. Culture of normalisation
   In both TV and financial services, inappropriate behaviour was normalised. On MasterChef, offhand jokes and comments went unchallenged. In finance, many firms only act after complaints, rather than actively policing culture. Nearly 38% of firms failed to escalate non-financial misconduct issues to the board. Silence, often masked by laughter, becomes complicity.
2. Fear of speaking up
   Freelancers in TV feared being blacklisted. In regulated firms, many employees don’t trust whistleblowing or grievance procedures. FCA surveys highlight weak uptake and instability in reporting channels – a problem that makes sustained abuse more likely.
3. Leadership accountability
   The FCA has made clear that senior managers are personally responsible – not only for their own conduct but also for the culture in their teams. Banijay and the BBC both acknowledged missed opportunities to act on the Wallace allegations and are now promising improvements. In both sectors, silence at the top allowed misconduct to thrive.
4. Transparency and career consequences
   Under the SMCR, serious misconduct must be recorded in regulatory references – limiting the ability of individuals to quietly move between roles. Likewise, public disclosure of the Wallace inquiry means he can no longer shift into new platforms without scrutiny. Transparency is a key deterrent.

Why this matters – lessons for all employers

The parallels between MasterChef and financial services hold lessons that apply well beyond those sectors:

• Prevention beats reaction – Clear policies, open reporting, and regular training help identify issues before they escalate
• Senior accountability is critical – Leaders must actively model respectful behaviour and champion psychological safety
• Transparency deters repeat offenders – Whether through references or public accountability, misconduct can’t be quietly buried

The direction of travel is clear: employers are expected to take proactive steps. Under the forthcoming Employment Rights Bill, due in late 2025, employers may face penalties if they fail to take ‘all reasonable steps’ to prevent workplace harassment.

What employers should do to prevent workplace misconduct

1. Review policies and complaints procedures – Ensure policies are accessible, clear and trusted by all staff, including freelancers and contractors
2. Train managers and staff – Mandatory training on harassment, unconscious bias and inclusion builds awareness and strengthens compliance
3. Embed governance and reporting – Boards and leadership teams should regularly review misconduct data and outcomes
4. Align with FCA/SMCR obligations – If you’re regulated, ensure systems meet the FCA’s expectations on reporting, references and senior accountability
5. Own the culture – Leaders must model zero tolerance and create an environment where people feel safe to speak up

How we help

At Thomas Mansfield Solicitors, we work with employers across all sectors, including financial services, to put the right frameworks in place. From policy reviews and staff training to legal advice on harassment, discrimination and FCA compliance, our team offers practical, strategic support.

Talk to us about preventing workplace misconduct and strengthening your organisational culture.