It doesn’t really matter whether the FMR is one in a hundred or one in a million, for the uses it’s being put to it’s still too high. If it was only being used as one factor for authenticating someone (I.e. the ‘thing for are’) but still required the other factor(s) (the ‘thing you know’ and the ‘thing you have’) then it’d be adaquate.
As it stands, when it’s being used either to pick someone out without further scrutiny, or to make payments with no further checks, it’s simply unacceptable. There’s good arguments to say it’s not just the error rate is unacceptable, but that the technology simply shouldn’t be used in those scenarios as it’s entirely inappropriate, but that’s a separate discussion.