View more on these topics

FCA: We want your solutions to RDR advice gap concerns

The FCA says it is monitoring the post-RDR advice gap “extremely closely” and recognises industry concerns over its impact.

Speaking at the Wealth Management Association conference in London this week, FCA chairman John Griffith-Jones said he was looking to the industry to provide advice gap solutions.

He said: “Clearly there has been a concern of the impact even if the nature of wealth management revenue streams has been slightly less impacted than other areas of the industry. I would argue what we have now is very clearly an improvement over what we had before.

“Yes, there may be side effects or unintended consequences and over the coming months we at the FCA will monitor developments in the market extremely closely. In particular we are alert to the advice gap issue and actually very interested to see where you, as part of a very competitive market place, go for new solutions that might meet the advice gap customer needs.”

Griffith-Jones said the suitability of advice remains on the FCA’s radar after last year’s thematic review of wealth management and there is still room for improvement from advisers by improving documentation.

Last month FCA chief executive Martin Wheatley said he had “concerns” over the advice gap. The Treasury select committee is also considering an inquiry into its impact next year.

IFA Centre managing director Gill Cardy says: “It has taken a long time for the FCA to talk about the advice gap but many people warned advice would be harder to access. The FCA has not done enough to facilitate advice solutions such as simplified advice, focused advice or simple products.”



Govt extends auto-enrolment joining period to six weeks

The Government has extended the period new employees have to auto-enrol in a pension scheme from four to six weeks in a bid to ease the burden on employers. In a series of changes to employer auto-enrolment rules, published today, the Department for Work and Pensions says it is trying to make life easier for […]


FCA threatens action as it warns re-reg is too slow

The FCA has warned platforms that re-registration times are too slow and threatened them with prescriptive rules if the situation doesn’t improve.   Richard Taylor, a manager of the FCA’s retail distribution team, told delegates at a Tax Incentivised Savings Association platform conference this week that industry-led solutions to re-registration were not leading to fast […]


Pru UK chief Jackie Hunt handed £4m bonus package

Newly appointed Prudential UK and Europe chief executive Jackie Hunt has been handed up to £4m in shares to compensate for bonuses forfeited when she quit Standard Life. Hunt’s decision to leave Standard, where she was chief financial officer, resulted in her giving up a series of bonuses from her former employer. Prudential has now […]


Case Study: Getting the right product for equity release

The problem: A client who has been recently widowed is looking at equity release as a way of supplementing their pensions income. What specific issues can arise for single individuals looking to raise money through equity release? The solution: A lot of the advertising and marketing around equity release has traditionally focused on a couple looking […]

HMRC helping to remove artificial gains

An investment bond offers investors certain tax advantages, one of which is the ability to take partial surrenders from the investment. This facility allows the policyholder to withdraw amounts up to 5% of the amount invested each policy year on a tax deferred basis, without incurring any immediate tax liability. This tax deferred allowance can […]


News and expert analysis straight to your inbox

Sign up


There are 2 comments at the moment, we would love to hear your opinion too.

  1. It’s all very well CLAIMING to want (us to put forward) our solutions, but it might be fractionally more encouraging if the FSA were to add unequivocally that not only is it receptive to our suggestions but that it will actually listen to and publish them all in open forum for all to see and to debate. Without those two assurances, can we have any confidence that anything will change? Talking the talk is one thing. Walking the walk is quite another.

    So here’s my suggestion ~ streamline the advice process to just four foundation stones: Proposition, Costs, Risks and Tax. Cut out all the War & Peace life planning crap that the networks are imposing on their members to document satisfactorily even the simplest of transactions and which is of no interest or relevance to 99% of those in need of our services.

    It’s tempting to surmise that once Martin Wheatley had had a chance to assess his legacy, he called together his lieutenants and told them: Listen, we seem to have inherited here the most God-almighty frock-up. What are we going to do to sort it out?

    Tracey McDermott: Well, you could declare the FCA to be a very different animal from its predecessor, I could announce that we don’t want to burden small IFA’s with compliance and we could pretend to take a fresh look at the GABRIEL Returns.

    And so it goes…..

  2. Stephen Underwood 17th October 2013 at 4:38 pm

    It would be really useful if it was easier to offer your suggestions to the FCA and then knowing that your suggestions would be taken seriously and acted upon. Who do we write to? Can we do it online? What will be the process for delivering the findings. Will the FCA agree to act on the popular ideas? If no one is prepared to listen and then act then what is the point? It’s a bit like asking the wife “What’s the matter?” and then plugging in your headphones to listen to music before she has said anything.

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and thought leadership.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm