Advisers say they would warmly welcome any Treasury select committee review on the impact of the RDR but stress that any inquiry needs to allow time for the initiative to bed in.
Conservative MP for Wyre Forest and TSC member Mark Garnier has asked for the committee to consider an inquiry.
Speaking to Money Marketing, Garnier says: “This is something I personally feel very strongly about. My benchmark is can the savers who are putting away £50 to £100 a month get access to good independent financial advice. If the RDR has resulted in people being denied that access, then against my benchmark, clearly the RDR has failed.”
He said any review would not take place before the middle of next year at the earliest.
Clearwater Financial Planning managing director Duncan Carter says: “It is undoubtedly the case that many professional advisers have been put off from dealing with smaller cases. The difficulty with the FCA carrying out a review is the RDR has to be seen to work. The regulator can play with the figures until they look the way they want them to.
“Given the FSA’s previous dismissal of the TSC, it will be interesting to see how the FCA respond if there is an inquiry. Garnier is right to push for an independent review.”
Aurora Financial Planning chartered financial planner Aj Somal says: “I would welcome a more independent, MP-led review of the RDR alongside the FCA’s review. However, the market is still developing, and propositions may yet emerge which are aimed at the lower end of the market. We all know there is an advice gap but we have to wait for the dust to settle.”