Consumer Duty could fall short in promise to attract new clients

Speaking to Professional Adviser, Porteous said the Financial Conduct Authority's (FCA) new regulation will instead widen the advice gap. Despite the FCA telling firms last month (10 May) that the new regulation should help advice firms to attract new clients as well as boost client retention, Porteous said he does not expect it to drive customer numbers. "There is a real risk around a widening advice gap on what then becomes a question of ‘what can we do to improve innovation and reduce propositional friction?'" he said. "Firms need to think about whether the new regulation is goi...