The Association of Professional Financial Advisers (APFA) has welcomed new proposals to fund the guidance guarantee set out by the regulator today, saying it could save the advice industry £2m-£4m a year.
APFA said the proposal to half advisers' financial contribution to the government's universal free at-retirement guidance offers "a fairer deal" for advisers, who previously feared they would need to pick up 30% of the levy. The Financial Conduct Authority (FCA) outlined in a consultation paper on 27 November it plans to split the levy equally between five fee blocks and give advisers a 50% reduction on their cost. The proposal would leave advisers to shoulder around 12% of the total cost of the guidance guarantee. APFA said, assuming an annual cost of £20m for the guidance guaran...
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