A growing community of firms have signed up to the STAR initiative, which officially launched in November 2018 and already has companies and organisations committed to shaping recognised, industry-wide standards to promote good practice in transfers.
The STAR remit is clearly defined and will:
1. Define the processes required to complete a transfer;
2. Specify good practice targets for each of those processes;
3. Measure, recognise and accredit performance excellence across the industry.
Tom McPhail, of Hargreaves Lansdown and Founding Chair of the STAR Steering Group, said: “We are delighted that Capita is supporting the STAR initiative. Frankly the more organisations that become involved, the firmer our foundations are and the more momentum we have. We are pleased with wide-ranging and extensive industry support we have received and continue to receive. We are in the final stages of our ISA/GIA working groups and have started both pension working groups, which are galvanising the industry to forge ahead with change and to improve things for consumers.”
Nigel Purveur, Managing Director of Capita Pensions and Benefits, said: “We are delighted to be part of the team who shape the future of transfers. We want to be part of this critical initiative to drive best practice, which is challenging the industry to change the rules of our own game.
“As part of Capita’s transformation, we want to demonstrate how we are changing to benefit our clients and customers. Joining STAR is a great example of just that. Through STAR, the industry has the opportunity to demonstrate its commitment to improving consumer outcomes, in advance of the Regulator's review of progress, which is due this winter."
With reports of transfers regularly taking several months to complete, yet banking being subject to a 7-day switching guarantee, it should be no surprise that the FCA has taken a keen interest in resolving the issue for consumers.
The STAR framework was highlighted in the FCA’s Investment Platforms Market Study final report published in March, where the FCA made it clear it expects the industry to resolve the transfers issue or it would face “further regulatory action”. The FCA said it was encouraging firms to consider participating in STAR “as a way of improving the switching process and achieving better outcomes for consumers”.
|
