Lack of support by senior management is the biggest barrier to firms implementing the treating customers fairly initiative, say financial services practitioners.
Four hundred delegates at the FSA’s TCF conference in London last week were polled on the barriers to TCF and how their own firms are progressing with the initiative.
Thirty-three per cent said senior management buy-in is the biggest barrier, followed by quality of staff at 23 per cent, cost at 11 per cent and regulation at 10 per cent.
Twenty-two per cent of delegates said their firm has progressed to embedding TCF, 44 per cent said their firm is in the implementation stage, 26 per cent said they have progressed to strategy and planning while 8 per cent said they have only progressed to an awareness stage.
The FSA says evidence from its thematic work and enforcement cases shows there is still much to be done in this area. It has given firms until March 2007 to show they are well on the way to implementing TCF throughout their business before it starts to crack down on them.
FSA managing director, retail markets, Clive Briault said: “We want to maintain and increase the momentum to deliver the consumer outcomes through the firms we regulate, by regulating those firms in a more principles-based way. Together, we can make a real difference to consumers.”