Speaking at the Sesame Symposium in Manchester yesterday, Sesame Bankhall Group executive chairman Ivan Martin said the FSA could create a “crisis” through the RDR.
He said: “I believe that if the FSA doesn’t take the genuine concerns of the IFA community seriously, and soon, it risks leaving a legacy that will needlessly jeopardise the ability of millions of consumers to benefit from professional financial advice. It will create a crisis all of its own; an advice crunch, at the precise moment when Britons need advice more than ever before.
“Never mind the credit crunch, the FSA is risking an advice crunch.”
Martin said Sesame backs the transition to higher standards, but only if it is through “commonsense, sensible and pragmatic measures”.
He reiterated calls for the timeline for QCF level four qualifications to be extended and for factoring to be allowed under the RDR.
He said Sesame will be working closely with Aifa to put forward further RDR measures to the FSA.
He also called for the FSA to be charged with establishing and maintaining a savings culture in the UK.
Martin said: “I’m going to use this stage to suggest that FSA be given a new statutory objective. An objective that ranks equal alongside treating customers fairly and maintaining an orderly market. I believe the FSA should have the objective of establishing and maintaining a savings culture in this country.”