'FSA must not replicate subjective Fos approach'

clock

The Association of IFAs has raised concerns the ombudsman's subjective approach to deciding cases will be replicated by the FSA in its principles-based regulatory regime.

Speaking at Prudential’s industry forum in Birmingham, Fay Goddard, deputy director general at Aifa, says the association welcomes the flexibility brought by a move towards principles-based regulation, but is concerned the FSA could replicate the Fos through its regime. She says the Fos is extremely subjective when it decides cases because a firm may have met every requirement but still be judged as not fair and reasonable by the ombudsman. “We don’t want to see this being replicated through the regulatory regime,” says Goddard. Aifa is also concerned a move to principles-based reg...

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 Your profession

Nici Audhlam-Gardiner: Wider basic advice adoption could shrink advice gap

Nici Audhlam-Gardiner: Wider basic advice adoption could shrink advice gap

'There is no need to reinvent the wheel here'

Nici Audhlam-Gardiner
clock 04 December 2025 • 4 min read
Demand for IHT advice surges as advisers turn to business relief

Demand for IHT advice surges as advisers turn to business relief

Advisers becoming ‘more proactive’ in IHT discussions

Isabel Baxter
clock 03 December 2025 • 2 min read
Advisers urged to scrutinise governance when selecting investment partners

Advisers urged to scrutinise governance when selecting investment partners

Governance conversations ‘foundational’ to delivery of ‘strong’ investment outcomes

Sahar Nazir
clock 03 December 2025 • 2 min read