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FSA to Stick with Retail Distribution Review Timeline

19 July 2011 (PLANSPONSOREurope.com) - The Treasury Select Committee (TSC) has called for the Financial Services Authority (FSA) to delay the deadline for the retail distribution review (RDR) by one year.

However, the FSA said it "remained committed to implementation from January 2013," the Financial Times reports.  

According to the Financial Times, the FSA said: "The RDR is already a long-running initiative with the first consultation paper published in June 2007. There is clear evidence that the industry is well advanced in its preparations, with 49 per cent of IFAs already qualified and at least 82 per cent expecting to remain as retail investment advisers."  

In its request, the TSC cited concerns that if the timeline wasn’t changed, a "substantial exodus of experienced advisers from the market could harm consumer choice," although it supported the FSA in its plan to ban commission on investment products and to raise the professional standards of financial advisers.

Rebecca Moore
editors@plansponsoreurope.com





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