• Doing business with the FSA
  • Small Firms
    • Financial advisers
      • Retail Distribution Review

We have published the Retail Distribution Review (RDR) Interim Report, which follows the Discussion Paper (DP07/1) published last year.

In November we will publish the full feedback received during the discussion period along with our decisions on the future implementation of any regulatory changes coming out of the RDR, and the timetable for formal consultation on those changes

What firms have told us

Feedback to last June's Discussion Paper called for a simpler landscape, in particular:

• there should be a clear separation between advice and sales;
• the landscape should complement the potential national Money Guidance service; 
• most respondents felt that there should be a single tier of advice; and
• that our proposals for 'primary advice' could be delivered through guided sales. 

What this could look like

We think a simple landscape is important if consumers are to understand the industry and have trust and confidence in those they are dealing with.  And we think the industry needs to be able to serve the changing needs of consumers.  

So, as well as setting out the feedback, we are giving some indication of how we might make this work: 

• advice would be independent and professional;
• sales would be non-advised but might include an element of 'help';
• and the regulated landscape should be able to support the outcome of Money Guidance. 

The report considers this in some detail and includes challenges to the industry to deliver change on remuneration, professionalism and guided sales.