| Link(s): | It’s good to be different: the new FCA supervisory strategy for the financial advice sector | FCA A new approach to financial advice regulation | FCA |
Context
Although aimed primarily at the financial advice sector, this speech and a supporting blog contain commentary relevant across financial services sectors. The speech was delivered by Nick Hulme, Head of Department, advisers, wealth and pensions, consumer investments, at the Consumer Duty Alliance – Future Strategy for Personal Finance Professionals event in Birmingham. Hulme also wrote the blog, published on 16th October.
Key points to note and next actions
- The FCA continues to focus on good client outcomes, taking a less prescriptive and more outcomes-based approach to regulation.
- The FCA wants to give firms (from sole traders right up to the networks and nationals) the flexibility to innovate in service of their clients that fits their size and client base more easily.
- The strategy has three strands including reducing and prevent serious harm, and testing and monitoring under the Consumer Duty.
- Value in ongoing advice is considered.
- The FCA’s recent commentary / reminder about consolidations and the FCA’s expectations / requirements in the event of changes of ownership and control were echoed.
- Testing and monitoring of firms under Consumer Duty will continue.