The FCA’s paper promotes a method of implementation that does not inhibit the introduction of longstop for the financial advice profession.
According to the Director General of APFA, Chris Hannant, the association has long made the case not to prevent the introduction of a 15 year stop for financial advice firms.
“This view now appears to have been adopted by FCA, and with it we hope that the door will open for the next steps in discussions,” Chris added.
“A long stop, limiting liability of advice to a reasonable period of time, is something that advisers and APFA have consistently called and pushed for,” he added.
Limited liability, Chris feels, is appropriate for financial advice and will bring it into line with other professions.
“It’s now time that this situation is resolved and we welcome the FCA’s commitment to give this renewed consideration,” he said.
“The sensible treatment of the ADR will remove a barrier to this happening and we look forward to resuming conversations with the regulator in the New Year.”
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