The Institute of Financial Planning has welcomed the comments from the FSA's David Severn that the regulator would be happy to see the back of the AFA tier.
Speaking from the IFP's annual conference in Telford, chief executive Nick Cann said the AFA concept was a ridiculous category which never would have worked in the commercial world.
Cann said: “We always thought AFA would go, it is a ridiculous category. People would either remain independent or by default become tied. Commercially, AFAs would be squeezed out. The focus solely on fee-based being a good thing was wrong.”