65 Results found.
Ongoing advice servicing is currently the biggest challenge for the wealth sector and probably will be for some years to come. Paying for what you don't need or receive One of the key concerns from the FCA – one that it has had for several years – is that many advice clients sign up for a
Two recent huge fines imposed by the FCA have once again spotlighted the ongoing need for improvement across all forms of financial service lending. It highlights that firms need to ensure that customers are receiving effective support and good outcomes in periods when they experience financial diff
The FCA has revealed that TSB Bank plc has been fined £10.9m over their treatment of customers who faced financial difficulty. The regulator also identified that TSB did not have adequate systems and controls in place to ensure fair treatment and outcomes for these customers. In response, TS
On the 7th October, the FCA wrote a portfolio strategy letter summarising its priorities and expectations for financial advisers and investment intermediaries over the next two years. This important communication from the regulator is a key publication for the financial advice sector. It’s
TCC’s team of experts has become aware of some firms being challenged by the FCA on their product governance arrangements, following Consumer Duty work by the regulator in the insurance sector. The regulator is particularly concerned about the lack of cohesive criteria used in fair value as
Recently there has been an uptick in investment advice firms looking to make some material changes to their propositions, TCC’s regulatory experts report. For example, some advisers are looking to introduce in-house investment platforms or to manage portfolios on a discretionary basis, to i
“Firms who expect the Barclays hearing to result in this issue going away may be disappointed and left trying to catch up on a number of critical risks.” Gary Maude, Director of Advisory Practice, TCC Group Background It's been widely reported that the FCA is conducting a review into whether mot
TCC recently hosted a multi-sector Consumer Duty forum to review ongoing industry risks and challenges whilst providing the opportunity to benchmark progress against financial service peers. In this post-forum evaluation, we consider the five key themes from the day and examine them in greater detai
As the dust settles on the Consumer Duty landscape one year after it was first introduced, TCC has been keen to gauge industry feedback on how the Duty has been embedded thus far. With this in mind, we’ve hosted two Consumer Duty forums over the past six months – totalling attendance from approx
The FCA issued Occasional Paper No.8: Consumer Vulnerability in 2015. It was published with the headline "FCA challenges firms to review approach to consumer vulnerability" and a "test of conscience" issued by the then CEO. Here, TCC’s Technical Director Judith Wright reflects nine y
The FCA has recently imposed a fine of over £6.2 million on HSBC (including HSBC UK Bank plc, HSBC Bank plc, and Marks and Spencers Financial services plc) for their ‘inadequate measures’ to treat customers fairly who are experiencing financial difficulties or falling into arrears. The r
As financial service firms await the findings from the FCA’s survey of 20 of the largest ongoing advice service providers, it’s an important time to consider assets under advice and their associated charges. The regulator is collating data about: The number of clients who were due a review about
The FCA has released its annual Business Plan for 2024/25, which sets out its primary objectives over the coming financial year and marks the concluding part of its three-year strategy (2022-2025) to drive positive transformation within the financial services market. The Business Plan restates the F
On 15th March 2024, the FCA announced plans for a wide-ranging review into the actions firms are taking to identify and respond to the needs of vulnerable customers. The long-awaited review, which was first outlined in 2017, is expected to go further than the originally planned work on age-related i
Ongoing advice services and any associated charges have been firmly on the FCA’s radar for over a year, after first being signposted as a cause for concern in the Portfolio Strategy Dear CEO letter to Financial Advisers and Intermediaries in December 2022. The regulator indicated it would b
The FCA rounded up 2023 by publishing its findings into the retail banking Consumer Duty multi-firm review. This comprehensive publication has a read-through across all sectors of the financial service industry and reminds firms that they should expect the FCA to ask for their annual Consumer
It goes without saying that 2023 has been challenging for businesses and their customers alike. The consumer tendency to over-stretch finances during the Christmas and winter holiday season is not new. Yet, at the end of the 12 months of a demanding period with a cost-of-living crisis and frequent m
In the run-up to the Consumer Duty, the regulator called on firms to re-examine their charging structures to ensure compliance with the new legislation’s Price & Value outcome. However, our benchmarking study found that half of firms had no plans to change their fee model, reporting they were
After years of consultation and planning, the Consumer Duty came into force on 31st July 2023, demanding higher standards of customer care and calling upon FCA-regulated financial businesses to ‘act to deliver good outcomes for retail customers’. Central to this vision is the pledge that
The FCA has reiterated the importance of firms being alert to indicators of potential vulnerability for clients seeking advice on defined benefit pensions. Its latest guidance provides businesses with a summary of possible circumstances Defined Benefit (DB) customers could find themselves in
Mortgage firms should act now to support ‘challenged’ borrowers who may struggle to repay at maturity, in planning for this risk of serious customer detriment. The number of borrowers on interest-only mortgages is lower than 1 million, consumer research from the FCA has revealed. This is
In the FCA’s Business Plan for 2023/24, it prioritised reducing and preventing consumer harm, particularly in in financial promotions. The FCA has now published its Guidance Consultation on Financial Promotions on social media. Whilst firms may consider this to be aimed at ‘finfluencers’ and u
The Mortgage Charter and Handbook changes set out the standards for lenders in assisting customers during the cost of living crisis who are struggling with mortgage payments, through collaboration between lenders, government, the FCA, UK Finance and the Building Societies’ Association. With the ri
Published in May 2023, the FCA's Consumer Duty price and value assessment review examined the frameworks of 14 (predominantly large) financial businesses - highlighting areas that successfully aligned with the regulator's vision for the future, alongside some key areas where firms were falling short
