Gap filling is better than complete abolition of the current polarisation regime says the Investment & Life Assurance Group in its response to CP121.
The trade body also says IFAs should be able to retain their current status whether they adopt the DP system or not.
Ilag chairman Bill Tonks says: “The proposals in the CP do not represent the abolition of polarisation but the substitution of a more complicated regime for the one already in place.”
“Research shows the difference between independent and tied advisers is now well understood by consumers. We would like to see the retention of IFA status, irrespective of the basis of remuneration.”