The number of sites that have flaws like you mentioned (encrypted data and clear text passwords) is worrying.
Is there not a independent third part that can audit sites for this kind of incompetence and rank or award compliant sites so consumers can factor this in when choosing services?
Yes, PCI QSAs. All they can do, and all the ICO can do, is fine you. A typical fine might be £10k-£100k. For these large businesses, they see it as being more cost effective to be cavalier about security and pay off the authorities. See amazon's credit card handling, for instance.
Is there not a independent third part that can audit sites for this kind of incompetence and rank or award compliant sites so consumers can factor this in when choosing services?