View more on these topics

Polarisation debate must be brought out into the open

The claim by the Treasury and FSA to represent consumers will be exposed as a complete sham if they take a decision about polarisation behind closed doors.

Any change is of fundamental public concern but Money Marketing believes there is a grave danger the decision will be taken behind closed doors at Canary Wharf and in Whitehall.

What is already in the public domain is pretty much worthless. The London Economics&#39 report was poorly constructed, bizarrely failed to look at the current set-up and helped only to fuel confusion.

It is understood the FSA, behind closed doors, is trying to determine the damage any radical changes to polarisation would do to the independent sector. About time too. But this research must be made public and time allowed for a full debate.

It is also unclear just who is responsible for the ultimate decision. It is certainly not one for a civil servant but for someone democratically accountable.

Finally and perhaps most dangerously of all, the powers that be may be about to replace the consumer-friendly polarisation system with one that is more easily regulated but risks more misselling and virtually guarantees misbuying.

In a week when the Ombudsman says the vast majority of endowment misselling was by the direct channel, can the FSA really be countenancing giving the tied sector the massive boost it would receive by multi-ties or multi-product ties?

Money Marketing is launching a campaign for a full public debate before changes are made which could do untold damage to the industry and consumers.


Tep market booming to £500m

The Association of Policy Market Makers says the traded endowment policy business done by its members will pass the landmark figure of £0.5bn this year.The APMM and IFAs are predicting this figure will rise substantially as more policyholders receive their endowment review letters.The association says its members have seen a rise of more than 11 […]

Perfect time for IFAs to demonstrate value

For many IFAs, the next six to 12 months will represent a watershed in terms of client communication. Not for the first time in recent years, employers are faced with changes in pension legislation which cannot be ignored (unless the prospect of a fine from Opra is not an issue) and they have a specific […]

Employers need advice

For the vast majority of employers, the days when it was possible to ignore pension provision are numbered. By October 8, 2001, all employers should have carried out an audit of their pension provision. Failure to comply with the new requirements could result in a fine from Opra. The safest approach for any employer is […]

C&G to rise interest rates on investment products

Former building society Cheltenham & Gloucester is hiking the interest rates it pays on its investment accounts. The C&G Cash and Tessa Isa rate is being reduced to 6.75 per cent from 7 per cent a year. Its Direct Transfer telephone account will pay 6.10 per cent a year when £25,000 or more is invested, […]


News and expert analysis straight to your inbox

Sign up


    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 advice.

    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