AIFA sees competition risk to 'menu'

Although the menu's average prices are proposed to be set by the FSA on the basis of information from the market – effectively relying on the market itself to provide the single reference prices - the FSA's pricing action may still be seen by competition authorities as an issue. The problem is not the ability of advisers to charge a maximum price against such an average price under the proposed menu regime, but the fact average prices would be determined by the regulator. Smee says any action is unlikely to take place until after the regime is implemented and authorities are in a posi...