APFA responds to FCA consultation and Treasury announcement on the guidance guarantee
21 July 2014
The Association of Professional Financial Advisers (APFA) has today responded to the Treasury’s announcement, and the Financial Conduct Authority’s consultation, on retirement reforms and the implementation of the guidance guarantee.
Chris Hannant, Director General at APFA, said:
“We welcome the commitment to implementing this guidance guarantee, and fully support the Chancellor’s belief that greater flexibility for consumers at retirement is a good thing. We also believe that regulated financial advisers have an important role to play in making that vision a reality.
“However, we’d like to see both the Treasury and the FCA commit to keeping the market under review as the guarantee is implemented, to ensure genuine change. This is the latest in a long line of attempts to increase competition in the retirement market, and we need to ensure the guidance guarantee isn’t just window dressing.
“We’re also concerned that introducing a levy on advisers is the wrong way of funding the scheme. APFA believe the product providers should pay for the guidance – the obligation is on them. Why should advisers contribute to the solution for a problem that wasn’t their making?
“APFA will be responding fully to the FCA’s consultation in due course, as well as continuing to work with the FCA and others to ensure an effective handoff process from guidance to advice.”
ENDS
