RDR paper: FSA admits consumer cost of professionalism rules

The regulator says, typically, 100% of ongoing costs may be passed on, but it says the proportion of initial costs is less certain. It estimates one-off costs to the industry of between £155m and £225m, which is consistent with its earlier forecasts. A number of stakeholders were concerned the figure would be significantly higher. Ongoing, annual costs to the advisory industry could be between £3m and £4m, the FSA says. The regulator is also sticking to its estimate of a cost to advisers of between £3m and £8m for independent verification of their compliance with professional stand...