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    • Retail Distribution Review
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We launched the Retail Distribution Review (RDR) in June 2006 in response to recurrent problems in the market for the distribution of retail investment products.

RDR feedback statement – published 25 November 2008

Following extensive liaison with the industry, we have now finalised proposals designed to address these problems, and to reform the investment market, preparing both consumers and the industry for the future. Our Feedback Statement outlines how this new level of confidence and trust for consumers can be established by:

• Providing greater clarity for consumers about the advice service being offered by making a distinction between independent advice and sales advice, and including the connection with the proposed free Money Guidance service;
• Raising professional standards of all advisers by setting minimum qualifications for different types of advice and establishing a Professional Standards Board to boost consumers’ confidence in the industry;
• Modernising the way advice is paid for by requiring independent advisers to agree the cost of financial advice with customers up-front, removing the possibility of commission-bias and ensuring the cost of all advice is clear to consumers whenever it is given; and
• Introducing a new standard for independent advice by ensuring advice is unbiased, unrestricted and extends to all types of investments.

Press release

FS08/6: Retail Distribution Review - Including feedback on DP07/1 and the Interim Report

We will consult on the proposals in the feedback statement in the first half of 2009. 

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