The new FSA disclosure regime in CP170 will lead to an excessive focus on cost at the expense of performance and other product features, warns Scottish Widows head of marketing Ian Naismith. Speaking at Money Marketing Live in Manchester today Naismith said the proposed key facts documents, which will replace key features documents, will not allow any illustration of a return the consumer may get.
He also questioned the logic of the FSA issuing new regulations
which have used as a starting point research and procedures from
the PPIAB's Raising Standards initiative already adopted by much of
Naismith says: “The FSA's product disclosure changes are a brave effort but the focus on charges and the exclusion of returns illustrations will lead people to think about costs above all else.”