Govt opens consultation on amending definition of financial advice

Opinions sought on wording, costs, benefits and risks

clock • 4 min read

The government has opened its consultation on amending the UK definition of financial advice, with the stated aim of giving firms "the confidence to develop better and more tailored guidance services to help customers make informed financial decisions".

The consultation document, which was published today, sets out the background to the issue and seeks views on the potential costs and benefits of the change as well as the associated risks. The Financial Advice Market Review (FAMR), which was published in March, suggested some people would benefit from "high-quality and more specialised and detailed guidance services". It also concluded, however, one of the principal reasons firms were reluctant to offer "this potentially less expensive guidance to consumers" was uncertainty about what constitutes regulated advice. According to tod...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

IPT haul up to £6.8bn in FY25/26

IPT haul up to £6.8bn in FY25/26

£43m collected in December

Cameron Roberts
clock 22 January 2026 • 2 min read
IHT receipts rise £200m in first nine months of tax year

IHT receipts rise £200m in first nine months of tax year

Treasury recorded £6.6bn from estates

Jenna Brown
clock 22 January 2026 • 3 min read
6,600 young people partake in CII and PFS virtual work experience

6,600 young people partake in CII and PFS virtual work experience

2,300 engaged with the insurance programme

Jaskeet Briah
clock 21 January 2026 • 1 min read