We need to restore pride in the sector and the positive work we do for our clients. It’s time to stop apologising and promote the social good we all do.
What about APFA?
We are happy to work in conjunction with APFA on industry issues but this is a critical time for the industry and we believe a stronger, clearer and broader representation of advisers is required.
We are also concerned at the very small numbers of directly authorised members in APFA’s membership and its financial exposure to networks may in the medium term compromise its existence.
What about RDR and Trail Commission?
The Heath Report 2 showed that as a result of RDR as many as 15.8 million consumers had become disenfranchised from their adviser due to decreasing adviser numbers and advisers cutting down on their client numbers. The report shows the removal of trail commission in 2016 could create a further loss of advisers in the industry, estimating between 20-40% attrition.
We need to realise the consequences and the impact of regulation and find solutions that are to the benefit of the consumer, that isn’t detrimental to those outside of the wealthy few.
RDR has helped to professionalise and upskill the industry further, ultimately improving the quality of advice consumers receive. However, if adviser numbers continue to decrease with future regulation, we need to realise the unintended consequences to the consumer.
Diminishing adviser numbers and a move from commission will impact the ‘average’ consumer with average pension pots – not the wealthy.
Libertatem is therefore calling for a halt to the suspension of trail commission in order to carry out a proper review of the impact of the removal of trail and debate and have a sensible discussion on how we move forward which does not have unintended consequences for the consumer.
Diminishing adviser numbers and a move from commission impacts on the ‘average ‘ consumer, not the wealthy.
Does The Change of Government Help?
With a majority Conservative Government we have a new opportunity to examine the accountability and quantum of regulation. We will seek to encourage ministers to match their deregulation rhetoric with actions. They are now masters of their own destiny and cannot blame the Lib Dems for their inaction. The size of the majority gives backbenchers a far louder voice in this government – something we can exploit.
The appointment of Ros Altmann presents a fantastic opportunity as she was critical of the lack of advisers post pension liberation. We look forward to working with Ros and others to achieve sensible solutions that are for the benefit of the consumer.
Gill Cardy Failed – What Makes You Think You Will Succeed?
This is a team effort, not just one person
The people on the committee are experienced and well-placed to take on this job
Whilst the Independent Only stance was attractive; whether you are deemed independent or not is in the hands of the regulator who could change the definition at any moment. Many firms will end up being both so we will represent Independents, restricted and wealth managers.