The Financial Conduct Authority (FCA) has announced plans to remove a number of ineffective communication requirements from its handbook.
In June 2015, the FCA published a discussion paper on Smarter Consumer Communications, in which it called on firms to think about how they can improve their communications to help consumers make more effective decisions about their finances.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
The FCA also set out its intention to consult on removing a number of existing disclosures as part of its commitment to create a sustainable regulatory framework.
Christopher Woolard, director of strategy and competition at the FCA, said: "We would like to see firms changing the way they interact with their customers. We have been encouraged to see a number of firms are already doing this.
"Today’s announcement reflects our commitment to sustainable regulation and addresses disclosures that are not working for consumers, giving firms the freedom to communicate with their customers in a more flexible and open way."
The FCA is proposing to amend the following rules and guidance:
– The Consumer-Friendly Principles and Practices of Financial Management
– Short report
– The Initial Disclosure Document/Combined Initial Disclosure Document
– Services and Costs Disclosure Document.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe consultation will close on 18 December 2015. In addition, the FCA said that it is now reviewing the feedback received on the Smarter Consumer Communications discussion paper and will consider whether further changes can be made to improve customer outcomes.
