FSA: Industry has 'itself to blame' for low consumer confidence

Scott Sinclair
clock

The FSA's acting enforcement head, Tracey McDermott, has said the financial services industry is failing to heed the lessons of previous failures and "has no-one but itself to blame" for low consumer confidence in the sector.

Speaking at the City and Financial Conference, McDermott picked on a number of incidents of mis-selling by financial advisers. She said: "How could any adviser ever have thought that selling a 94-year-old with a three-year life expectancy a five-year product was fair? "How could any adviser have thought that investing large proportions - or even all - of a customer's retirement fund into high risk Unregulated Collective Investment Schemes was suitable advice? "Why did advisers tell clients to invest in products they themselves did not understand?" McDermott went on: "It really i...

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 Regulation

Open letter slamming FCA email policy sent to regulator and government

Open letter slamming FCA email policy sent to regulator and government

'Alarming lack of consultation'

Beth Brearley
clock 20 March 2025 • 2 min read
Crispin Odey hit with £1.8m FCA fine and ban

Crispin Odey hit with £1.8m FCA fine and ban

FCA cites lack of integrity

Sorin Dojan
clock 17 March 2025 • 2 min read
Reeves to overhaul regulatory regime as part of growth drive

Reeves to overhaul regulatory regime as part of growth drive

FCA and CMA face changes

Sorin Dojan
clock 17 March 2025 • 2 min read