The Financial Conduct Authority (FCA) is to press ahead with its plan to require firms to provide suitability reports for advice against a pension transfer despite concerns over additional advice costs.
In its policy paper PS18/20, published on Thursday (4 October), the FCA confirmed plans to require firms to provide a suitability report during pension transfer advice, regardless of whether the recommendation is ultimately to transfer. The FCA said a suitability report would provide a customer with a lasting record of why remaining in a defined benefit scheme was the most suitable outcome for them, as well as offering a record that should help an adviser if there was a future dispute on the advice given. Some respondents to a prior consultation on the proposal suggested the additiona...
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