'We can't push a mountain': FCA issues rallying call to advisers

Laura Miller
clock

The Financial Conduct Authority (FCA) has issued a rallying call to advisers and the wider industry to help it regulate, saying it "can't do it alone".

Speaking at an event in London today, Clive Adamson, director of supervision at the FCA, said being a reactive regulator no longer works, but that to be a proactive regulator the FCA is relying on the industry to inform it of what is going on.

"The FCA has 2,800 people with about 600 on the front line of supervision. We can't push a mountain by ourselves. We need to work with the industry."

Adamson (pictured) said the FCA is "holding out an olive branch to the industry", and doesn't want to be seen as being in "an ivory tower in Canary Wharf".

"We need your help. It's almost impossible for us to pick up problems without you. We need your intelligence."

But the FCA chief also fired a warning shot to firms, saying over the coming months the regulator will be scrutinising charging models in particular to ensure the changes brought about by the Retail Distribution Review (RDR) are being implemented.

"We want to spend more of our time looking at business models, the culture of firms. Whether they are treating customers fairly is determined by their business model and how they make money," he said.

This work will include looking at the relationship between providers and advisers, and any "inducements" that may pass through the value chain.

"We have seen some inducement packages that meet the rules but don't meet the spirit of the RDR. We will be looking at that," Adamson said.

Adamson said the regulator is also "in the early stages" of scrutinising providers' actions in relation to charges now that adviser charging has been stripped out of the product.

More on Long Term Care

Government narrowly wins vote on social care reform amendment

Government narrowly wins vote on social care reform amendment

Vote in House of Commons passes 272-246

John Brazier
clock 23 November 2021 • 2 min read
Social care living costs will not count towards cap total government reveals

Social care living costs will not count towards cap total government reveals

“A real blow for people with less income and savings”

John Brazier
clock 18 November 2021 • 2 min read
Tony Müdd: Lies, Damn Lies & The Cap

Tony Müdd: Lies, Damn Lies & The Cap

'The idea that people will no longer face unpredictable or unlimited care costs as a result is patently not true'

Tony Müdd
clock 26 October 2021 • 5 min read

Highlights

COVER Excellence Awards 2021: All the winners revealed!

COVER Excellence Awards 2021: All the winners revealed!

Leading With Distinction

COVER
clock 03 November 2021 • 2 min read
COVER Excellence Awards 2021: The Night in Pictures

COVER Excellence Awards 2021: The Night in Pictures

A photo gallery from COVER Excellence Awards 2021, held at The Brewery, London, on 2 November.

COVER
clock 03 November 2021 • 1 min read
Gosia Bowling: The role of behavioural science in creating a menopause-friendly workplace

Gosia Bowling: The role of behavioural science in creating a menopause-friendly workplace

'The key to supporting menopausal women is creating a culture in which conversations are welcomed and expected'

Gosia Bowling
clock 02 November 2021 • 6 min read