IFA: RDR anomalies 'restrict choice and push up costs'

Nicola Brittain
clock

The many ways in which providers are remunerating advisers are "restricting choice and pushing up costs" for clients, according to the director of one advice firm.

Chartered financial planner and director of Clayton Financial Planning, Rory Clayton, said the many ways in which providers are renumerating advisers since the introduction of the Retail Distribution Review (RDR) is causing problems.  He said: "Before you advise a client on any product, you must ascertain what the provider is doing with the product regarding ongoing commission - this research in itself costs money.  "For example, one of my clients wanted to increase his pension contributions - he has three pension policies. "The first provider never paid a premium commission, the s...

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 Regulation

FCA expected to align trail commission with Consumer Duty rather than 'switching off' service

FCA expected to align trail commission with Consumer Duty rather than 'switching off' service

Consultation is about ‘understanding and evidencing impact’

Sophia Panayi
clock 09 April 2026 • 4 min read
'Slow start' expected for targeted support as rules go live

'Slow start' expected for targeted support as rules go live

Royal London one of the first to get FCA approval

Sophia Panayi
clock 07 April 2026 • 4 min read
Former financial adviser hit with FCA ban after pocketing £54,000 from 'vulnerable' client

Former financial adviser hit with FCA ban after pocketing £54,000 from 'vulnerable' client

Daniel Leon Williams banned from regulated activities after being sentenced in 2024

Sophia Panayi
clock 07 April 2026 • 1 min read