UK argues for IMD reform

The EC should consider the scope and costs of the directive

The UK government and regulator have called on the European Commission to make substantial changes to the Insurance Mediation Directive, which is currently under review less than three years after it first came into effect. In a joint response to the EC’s green paper on the integration of retail financial services, the Financial Services Authority, HM Treasury and the Office of Fair Trading say they believe that revisions should be made to the IMD and in particular that the scope of the directive “should be actively considered as part of this work, along with a proper assessment of the costs the Directive imposes on firms, and an assessment of its impact on cross border business”.