Aifa says the FSA should consider publishing a list of compliance consultants it uses to undertake skilled person’s reports to guide advisers towards good quality consultants.
In its response to the FSA’s consultation paper on organisational systems and controls, Aifa says the regulator could also work with the Compliance Institute to raise standards.
Aifa says there will be calls to regulate compliance providers or create approved lists. It does not approve consultants although consultants can pay an annual fee of £250 to be on an Aifa database.
It says: “It is still the case that compliance consultancies vary in quality considerably and many are actually a barrier to firms reaching required standard as their advice is so poor.”