The Association of Professional Financial Advisers (APFA) has welcomed the government's plans to fuse the current public guidance bodies into one, but warned costs for advisers must come down.
In its response to the Treasury's financial guidance review, APFA said it welcomed plans to restructure the delivery of public financial guidance currently carried out by the Money Advice Service, the Pensions Advisory Service and Pension Wise.
But the trade body said the new organisation should provide a clearer and better referral system to regulated financial advice and deliver an improved service.
It also called on the government to provide assurances the new delivery model would be more efficient and more cost-effective than the current providers.
APFA argued all those groups that supported the previous guidance bodies - for example, unregulated pension providers that have contributed to The Pensions Advice Service - should continue to provide funding for the new body and the burden should not fall solely on FCA regulated entities.
APFA general director Chris Hannant (pictured) said: "The funding model for the new body must be fair with contributions from all those who are likely to benefit - this should include those who are not regulated by the FCA.
"It will be essential the new set-up results in more efficient use of levy income and leads to future reductions in the cost of the new money guidance body to the financial advice community."
Last year, the trade body blamed the FSCS levy for a 10% drop in adviser profits.
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