Graph: The awkward £1bn question about adviser discipline

Is this what a well-functioning sector looks like?

Laura Miller
clock • 2 min read

Some have questioned data that suggests rogue advisers are too often getting away with dumping compensation claims on the good guys, and raises questions about the need for stricter regulation. Here Professional Adviser plots the figures on a graph to show the true extent of the problem.

This week Professional Adviser published a far-reaching investigation that revealed the tiny percentage of advisers who have faced disciplinary action by regulators and professional bodies in the last six years, despite a backdrop of bad advice that has cost the industry £1bn. The link to the full article is here, but in brief the points it raised were: - Complaints upheld by the Financial Services Compensation Scheme (FSCS) in the last six years have cost advisers nearly £1bn, so £40,532 for every adviser trading in the UK, or £6,600 a year. - In that time regulatory action has be...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Partner Insight: Passive and active — the case for both

Partner Insight: Passive and active — the case for both

Invesco
clock 18 March 2024 • 4 min read
Future of Investment Festival: Secure your place for June now

Future of Investment Festival: Secure your place for June now

A look at how to take advantage of global megatrends

Professional Adviser
clock 11 March 2024 • 2 min read
Great British ISA may struggle to be Consumer Duty compliant

Great British ISA may struggle to be Consumer Duty compliant

Concerns raised over the narrow target market of the new offering

Hope Coumbe
clock 11 March 2024 • 1 min read