“This market review has offered the industry a rare opportunity to help set the agenda from the start for the rapidly evolving financial advice market. The final outcome will be key to how people access and engage with advice about their finances, but it is important this is seen as a first step, and decisions are not rushed through in time for the 2016 Budget.
“Above all, financial advice must be affordable, uncomplicated and trusted by those who need it – which is now everybody entering retirement. To successfully achieve these three elements, greater use of technology to improve productivity and lower the costs of advice will be essential.
“Everyone’s financial situation is unique, and advice must be tailored to suit their different needs, and delivered so that consumers feel empowered to make the right decisions. Raising awareness of the importance of engaging with financial planning for later life is key, and there is a strong argument that personal finance should be introduced into the school curriculum. Understanding and being equipped to manage and plan your finances should be something that everyone engages with from an early age.
“Ensuring that everyone has access to affordable and trustworthy financial advice is likely to be an ongoing journey as technologies, propositions and customer needs and understanding continue to evolve. FAMR is unlikely to resolve all the gaps in the market in one go, but it represents a great opportunity to establish a framework that can evolve towards that goal.”
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