View more on these topics

Stephen Gay: Why I quit Aifa

Outgoing Aifa director general Stephen Gay has defended his decision to step down from the trade body and says he is proud of what Aifa has achieved during his time at the helm.

It was announced this morning that Gay was leaving Aifa to take up a role with the Association of British Insurers.

Speaking to Money Marketing, Gay says people will have their own views on the timing of his decision to leave, with less than a year to go before the implementation of the RDR, and ahead of the move to a new regulatory structure.

Gay says: “A year and one month is not that long to be at an organisation. But you can never tell when an exciting opportunity is going to come up. When it does, you have to weigh up your options.

“The role at the ABI is an exciting one, it is about pursuing the issues regarding an ageing population and the reputation of our industry, and the saving gap, and these are things that I feel passionately about, and I know many IFAs feel passionately about.

“It should not be considered that this is in any sense going from one side to another. Aifa’s always had a close relationship with the key members of the ABI who are associate members of Aifa. The agenda between the two organisations varies at times but by and large we are all after the same thing, which is to do the right thing by the British public.”

Gay believes Aifa has made significant progess over the last year as an organisation, and says it is now in a position to “go forward with greater confidence.”

Money Marketing revealed in November that Aifa had posted an operating deficit of £194,419 for the year to June 30, down from a surplus of £14,919 for 2009/10.

Gay says: “The numbers were what they were. Seeing that when I arrived a year ago it was clear the organisation needed some strong direction. The costs of the organisation have been taken down very considerably under my direction. The revenues of the organisation have improved. The organisation has started now to move back to profitability. The operation of the organisation has been overhauled and improved. And on the policy side, there are a string of things we are very proud of given the difficulties with resources and the reducing headcount of the organisation that I felt was necessary.”

Gay counts among Aifa’s successes last year the lobbying of the Treasury select committee over the RDR, which last July called for the RDR deadline to be put back by one year. He says Aifa is making good progess with the FSA over trail commission, and has also worked with the FOS over its current plans to change the case fee structure and increase the number of free cases for advisers from three to 25 a year.

He also highlights Aifa’s work with the Financial Services Compensation Scheme, which led to firms who were overcharged in contributing to the interim levy to pay for the compensation costs of Keydata being able to resubmit their tariff data. Aifa is continuing to challenge the FSCS over the way it has sought to pursue advisers who sold Keydata products through the courts.

Gay adds: “Across a whole range of things we are pleased with what we have achieved with very limited resources.”

Gay’s leaving date is yet to be agreed, but is expected to be around the end of February.


News and expert analysis straight to your inbox

Sign up


There are 15 comments at the moment, we would love to hear your opinion too.

  1. “It should not be considered that this is in any sense going from one side to another. Aifa’s always had a close relationship with the key members of the ABI who are associate members of Aifa. The agenda between the two organisations varies at times but by and large we are all after the same thing, which is to do the right thing by the British public.”

    In one paragraph what was always wrong with AIFA.

    Independent Financial Advisers are INDEPENDENT – particularly from providers. We are agents of the client not the insurance companies,

  2. Nothing to due with the fact that Aif’a’s income and memebership is going to plummet in a year’s time then?….

  3. Typical of so many at top. Jump ship before they go down with the mess they helped create. I am sick of all of these Tony Blair’s.

  4. Dennis Burling ACII APFS, Chartered Financial Plan 13th January 2012 at 12:43 pm

    What Tosh !!

    Had a better offer from his previous field which is directly opposed to IFA interests.

    I suspect that he was not doing well, realised that the FSA ignore AIFA and decided to jump before he got pushed no doubt !

    Good riddance to self serving career job hoppers !

  5. .Stephen Gay never had the interests of IFA’s in mind when he joined. It was obvious from the start that someone with an insurance background would not be the right person to promote IFA’s. AIFA has gone by its sell by date because of him so maybe it is better he goes now before the push comes just before RDR. AIFA can now try and sort out his mess and start promoting IFA’s and taking insurance companies to task who are trying hard to poach clients

  6. Terence P.O'Halloran 13th January 2012 at 1:50 pm

    Money? Lack of moral fibre? Head hunters fees? Background? qualifications? Understanding the issues? Oh what could possibly be the reason he left?

  7. Rats leaving a sinking ship………

  8. Who cares, another faceless paper pusher

  9. Jumped before he was pushed!!!

  10. Incompetent Regulators Award Team 14th January 2012 at 2:04 pm

    Placeman moving onto another placeman job. If ….a very big IF……… AIFA is to survive we need an practicing IFA to represent IFAs……….period.

    Otherwise goodbye AIFA and good riddens.

  11. I wonder if Aifa are already seeing membership tumble?

  12. I recall that many AIFA members vociferously objected to him from day one for the reasons mentioned in the comments here, ie not impartial enough… so I wonder if AIFA membership or at least a good deal were hostile, not a nice working environment.

  13. Andy, not being an IFA didn’t help his cause – seemingly, only IFAs can have credibility; despite their being precious few with any significant industry-wide profile.

    This is where we go back into the calls for a practicing IFA to step up and head the organisation – despite the fact that restricted beckons, and I doubt you’d get a practicing IFA volunteer to cripple their own business to take this own.

    There’s a massive amount of naivety and ignorance in the comments on these articles. No wonder AIFA struggles for traction if this is its constituency.

  14. Exactly how independant are advisers when providers pay differing levels of commission and there are literally thousands of funds which no one person could ever possibly keep abreast of?

  15. 13th February 2012 at 4:55 pm

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