Intermediaries welcome decision to abandon 'unworkable' client money rules

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The financial services watchdog has abandoned a set of "almost unworkable" policy changes to how general insurance intermediaries handle client money.

A consultation by the Financial Conduct Authority over potential changes to Cass 5 was abandoned by the authority as "not proportionate". The consultation opened on July 2012, and the British Insurance Brokers' Association has been involved in negotiations from an early stage. "This holds the record for the gap between the publishing of the consultation and the final decision," said Steve White, CEO of Biba. "What they proposed did in some places come up with a heavy degree of criticism as being almost unworkable. The quality of their original cost benefit analysis wasn't to their ...

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