RDR: FSA rules out RDR deadline extension
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The FSA says it will not extend the RDR deadline past 2012 even if a significant number of advisers look set to fall short of the requirements.
In an interview with Money Marketing after the release of today’s RDR consultation paper, FSA director of conduct policy Sheila Nicoll said there is no potential for an extension to the deadline if advisers are struggling in the lead up to 2012.
She said: “We are not intending to extend the deadline. We do feel we have given plenty of indication and warning to advisers as to what our expectations are. Our belief is that now is the time for advisers to be getting on with it.”
The regulator is proposing a more flexible approach to alternative assessments for QCF level four exams, which it says will be offered on an on-going basis and not just during the transitional period.
Nicoll said the FSA is now “open-minded” about the shape that work-based assessments can take and has moved away from its view that only oral exams can be an alternative.
She said: “We are now suggesting that there are other forms of assessment that could be used such as e-learning. We are actually reasonably open-minded about the nature of those assessments. The important aspect is that they are independently verified.”
The FSA’s consultation paper rejected factoring on group pensions. Nicoll said the FSA is not convinced that it will help build the modest regular savings market, as currently factoring is allowed and regular savers make up a small part of the market.
She said: “We are conscious that even with factoring in place that is still a pretty modest part of the market. We are not entirely convinced of the link between factoring and the health of the regular savings market.
“We know factoring is something that firms have commented on in the context of the June RDR paper, so it will be considered as part of our consideration of that consultation.”
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Readers' comments (8)
Barry Painter | 16 Dec 2009 4:11 pm
All these people appear to make statements on the assumption that the FSA will still exist after the next election. Should they not be asked how RDR will be affected if the FSA is abolished in favour of the Conservatives alternative/
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Anonymous | 16 Dec 2009 5:04 pm
More of the same by brain damaged staff at the FSA. Why do THEY themselves not become competent to regulate (especially the banks) instead of spouting headline grabbing garbage to divert away from their incompetence.
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Mr Smug | 16 Dec 2009 8:04 pm
I have the level4 qualification so have no axe to grind but find it patronising and unfair to say "Our belief is that now is the time for advisers to be getting on with it.” when these well paid, final salary pensioned quangocrats still haven't said exactly what qualifications are required and their is the possibility of some other form of assessment.
The FSA needs to get real, work out exactly what is required, announce it and give IFA's a number of years to get the right qualifications. We don't sit exams for fun. They cost us money and time that we could be using to develop our businesses or spend with our families. To be two years away and not have agreed the requirements is just poor practice and unprofessional.
Perhaps the FSA bonuses should be reduced for every IFA that leaves the industry.
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Anonymous | 16 Dec 2009 9:23 pm
Sheila Nicoll said: there is no potential for an extension to the 2012 deadline!
What about the FSA deadline is there potential to extend their deadline before they can refuse to extend the IFA deadline?
Sheila I know you are just doing your job but that claim was no defence at Nuremberg!
I hope you can sleep at night because what you and the rest of the FPack are doing stinks to high heaven!
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Anonymous | 17 Dec 2009 9:44 am
more absolute rubbish from the FSA. Talk about competence their competence at regulation is gone, various banks, Keydata and now Cru have seen to that.
Start concentrating on the real problems and leave us alone!
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Colin Palmer | 17 Dec 2009 10:03 am
What interesting double standards the FSA seem to have!
Perhaps on Exam paper no.J099(change hands) we should have the question:-
'The FSA plans to scrap the independent professional standards board and take responsibility for professionalism internally, Money Marketing understands'.
and on assessments:
'We are actually reasonably open-minded about the nature of those assessments. The important aspect is that they are independently verified.”
Discuss.
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Anonymous | 17 Dec 2009 11:23 am
It amazes me that the FSA have no idea about how many employed advisers are having to do this in diminshing personal time. My employer expects me to do 10 appointments a week, produce over £200K income for them and also study for four exams in the next 2 years. I have a 35hr a week contract with work target requiring 56 hours input, then I need to find time whilst still awake to study for exams that some contain content that I will never use within my client base. To prove ongoing knowledge I agree with but such deadlines are too stressful. I may have the exams, but may have been sacked before I can use them for underachieving. They need to get real
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Anonymous | 21 Dec 2009 2:19 pm
Isn't RDR and needing extra exams an infringement on our Human Rights?
I should say it is!!!
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