Last year, Money Marketing reported on a “basic advice plus” regime allowing commission payments and requiring QCF Level 3 qualifications that was proposed to regulators by an industry group at the Gleneagles industry conference.
It was conceived by a group led by industry consultant Peter Williams and including the Association of British Insurers and Association of Mortgage Intermediaries.
Under the proposal, QCF Level 3 advisers could offer basic protection products, cash and equity Isas, stakeholder pensions and advice on purchasing an annuity subject to the size of the pension fund. Advisers would be paid by commission and products would be approved by the regulator.
The research shows a majority of advisers did not have a strong feeling about the proposal, with nearly a fifth reacting positively and double that number reacting negatively. Nearly half of advisers agree with the retention of commission while only a fifth agreed with the Level 3 qualification proposal.
Less than 20 per cent would be likely to offer such a service. Among those who would offer the service, the majority say less than half of clients would be suitable. Advisers were equally divided about whether it was too late to introduce the service, given the introduction of the RDR.
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