Banks welcome axing of 'mandated' words to describe restricted service

Scott Sinclair
clock

Banks have described as "a plus" an FSA decision not to mandate the wording they will need to use to describe their restricted offering to clients after 2012.

The British Bankers' Association (BBA) says a mandatory statement would have been unfair on both consumers and firms, which offer "many different types" of restricted services. In its final rules on the distribution of retail investments, published on Friday, the regulator said it agreed proposed wording "would not work" for all business models. It offered an example of this: where 'restricted' applies to the range of products considered, but not the range of providers. However, the FSA said firms must still disclose orally and in writing to clients they are receiving restricted ad...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

Ten firms achieved CII Chartered status in second half of 2025

Ten firms achieved CII Chartered status in second half of 2025

Across financial planning and insurance

Jenna Brown
clock 13 January 2026 • 1 min read
FSCS sets £108m budget for 2026/27 as costs fall in real terms

FSCS sets £108m budget for 2026/27 as costs fall in real terms

Compensation scheme plans lower core costs

Sahar Nazir
clock 13 January 2026 • 1 min read
Financial planning career appeals to only 21% of young people

Financial planning career appeals to only 21% of young people

‘Perception gap’ a major barrier to new talent

Isabel Baxter
clock 13 January 2026 • 2 min read