Commenting on the launch this week of the FCA’s latest guidance consultation on the Fair Treatment of Vulnerable Customers, Stephen Lowe, communications director at Just Group, gave his response to IFA Magazine.
“We are pleased to see the regulator pushing on with its vulnerability work and continuing its dialogue with the industry on how best to strengthen consumer protection.
“This consultation will provide key evidence in the debate about whether vulnerability is best addressed within the current regulatory framework – by revising the FCA’s Principles and how they are supervised and enforced – or if primary legislation is needed to sit higher up, perhaps enforcing a statutory duty of care.
“Our own research into how intermediaries and providers are responding to the challenge revealed the majority of firms are on the case with nearly all – 94% – stating they are treating the issue seriously and six in 10 saying the issue is on the agenda at board level.
“However, organisations who took part in the study are at very different stages of their journey, with some still struggling to develop and implement vulnerability policies and others a long way towards embedding vulnerability into the core of their business.
“Firms recognise that this is a very difficult area to get right and are keen to work co-operatively with the regulator to resolve the many challenges that lie ahead. Today’s consultation is useful for removing some of the uncertainty and adding clarity on where FCA sees policy heading.”
