AIFA under fire from MP over Arch Cru redress scheme battle

clock

A Conservative MP has criticised the Association of Independent Financial Advisers (AIFA) for failing to fight for its members against a proposed £110m redress scheme for Arch Cru investors.

The scheme, currently being consulted on by the Financial Services Authority (FSA), could see up to almost 800 firms having to pay out for mis-selling the investments. All advisory businesses that sold Arch Cru investments would have to contact their customers and, where a mis-sale is identified, compensate them. Alun Cairns MP, chairman of the Arch Cru all-party parliamentary group, said he had spoken to AIFA after advisers pointed out the harshness of the scheme, with the FSA saying 70% of the cases it looked at show that the IFA's advice was deficient and that they should have unde...

To continue reading this article...

Join Professional Adviser

  • 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 Regulation