A complaints long-stop: Five options on the table

The govt and FCA are consulting on the options for a time bar on complaints against financial advice

Scott Sinclair
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The government and regulator are considering five options for re-introducing a complaints long-stop for advisers.

As well as the introduction of a single long-stop, possibly of 15 years, the Treasury and Financial Conduct Authority (FCA) may introduce varied limitation periods linked to the terms of products, such as mortgages, or measures to strengthen firms' professional indemnity insurance cover for claims linked to long-term advice. Another option would be to set up a compensation fund which would pay out in the event of a justified claim older than 15 years, which all firms would contribute to. Crucially, this measure would not require the firm in question to be insolvent before a payout is tri...

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