FCA TO IMPROVE THE APPOINTED REPRESENTATIVE REGIME

The FCA propose to introduce yet more legislation to force the networks to clamp down on the free wheeling IFA model, by increasing central control and oversight of the networks.

Apart for all the bolt tightening and inspection revamps there is an annual fee of £250 that all principals will have to pay to the FCA in order to keep an AR on their books.  This should broadly be welcomed by all the industry, including the networks, although network members may not thank me for saying so, the increased barriers to entry into our profession only serve to enhance our own prospects, so long as we can stay with it.  In some respects, this part of the long march towards the centrally controlled SJP model that the regulator so dearly treasures, and has been so profitable for that firm.  The FCA have never liked the freewheeling network model.

Read our policy paper on a word document here