With Consumer Duty almost upon us, Richard Farr, non-executive director at Comentis, explains why the 31st July marks the firing of a starting pistol – not the finish line.
Related topic: Regulation
Under Consumer Duty, firms must report on outcomes for consumers – including how these affect vulnerable consumers.
The Duty will come into force on 31st July 2023.
New research raises concerns around preparedness of lenders ahead of new rules, with 61% admitting they’ll need to turn to external expertise to meet regulatory requirements.
With Comentis, advisers can evaluate a customer’s financial vulnerability across the four triggers defined by the FCA.
The flag is being turned on six weeks ahead of the Consumer Duty rules coming into effect on the 31st July.
56% of UK adults would be identified as vulnerable under the categories of the upcoming Consumer Duty regulations.
Many firms say they are having to commit significant resources towards implementing the Duty before the 31 July deadline.
The tool will help later life financial advisers record the type of appointments held with their clients and track the attendees present.
At the end of last year, the FCA published changes to the AR regime.