FCA consults on simplified advice regime due to start in 2024

The FCA has begun its consultation on a "new core investment advice regime", which will ease the regulatory requirements on firms advising an estimated 4.2 million consumers who have more than £10,000 in cash and are "open to investing some of it". The start date for the new system is April 2024.

By Neasa MacErlean

The new "separate, simplified financial advice regime" would have four main components, under the consultation proposals: a streamlined customer 'fact find'; "more proportionate" qualification requirements; instalment arrangements for paying commission (to ease cash flow pressures for these clients; and a limited range of investments (including stocks and shares ISAs - Individual Savings Accounts). Responses must be received by the Financial Conduct Authority by 28 February.