Jenny Smyth sets out in practical steps what businesses need to do to comply with the FCA’s Consumer Duty ahead of the October ‘plan’ deadline
You are probably sick of seeing the words ‘Consumer Duty’ – they seem to be everywhere at the moment, with a plethora of guides and warnings about the October ‘plan’ deadline. There’s a lot of noise about the existence of Consumer Duty, and explanations of what the regulations entail, but what is less prevalent is the practical advice – the ‘how’ to implement it into your business.
Well, that’s the difficult point. This new regulation is different to previous releases from the Financial Conduct Authority (FCA) in as much as it can’t be covered off by a tick list to prove that your firm is compliant. Herein lies the issue in a generic how-to!
Really what it all boils down to is looking at your own firm and what you do – not worrying about what any other firms are doing. It’s like an extended PROD, really (with a few little bits for good measure). Identifying the building blocks of your business and ensuring that you’ve got the right tools to help your target clients. It sounds simple when it’s put like that, but in practice, it can be difficult. But you have to be brave! Have a think: If you had the opportunity to start your business from scratch now, would it look the same as it does now?