Some 40% of IFAs say that clients are more confused on the difference between independent and restricted advice than they were before the implementation of the Retail Distribution Review (RDR), according to research released today.
One in ten advisers are now restricted compared with one in 30 in fourth-quarter 2012, and this will increase to one in six by the end of the year, research predicts.
The Financial Services Authority's (FSA) regulations around independent and restricted advice mean that most independent advisers are actually operating as 'restricted advisers', according to one IFA practice owner.
The post-RDR world and our approach
Will the intermediary marketplace be unrecognisable in 12 months? Watch our expert panel debate.
Fiona Murphy speaks to the IFA Centre's managing director Gill Cardy about the benefits of independent advice.
The UK's biggest advice firms have been accused of failing to adequately inform potential clients whether they provide independent or restricted advice.
The Solicitor Regulation Authority's (SRA) board has agreed to allow solicitors to make referrals to restricted advisers causing consternation within the industry.