The Financial Conduct Authority is proposing to introduce a new ‘Consumer Duty’ setting higher expectations for the standard of care that firms provide to consumers.
The regulator wants to see a higher level of consumer protection in retail financial markets, where firms are competing vigorously. The FCA wants to ensure that firms’ culture and behaviour focuses on positive consumer outcomes, enabling customers to make the decisions in their best interests.
The Consumer Duty would require firms to:
-
ask themselves what outcomes consumers should be able to expect from their products and services,
-
act to enable rather than hinder these outcomes,
-
assess the effectiveness of their actions.
Members can register now to join a webinar hosted by the FCA on 10 June at 13.00, to learn more about the proposals.
The BVRLA will be responding to the FCA consultation, which closes on 31 July. Members can read the consultation in full on the BVRLA website and provide any input to BVRLA Head of Policy & Public Affairs, Thomas McLennan.
