In June 2015, the Financial Conduct Authority (FCA) published a discussion paper called Smarter Consumer Communications, which asked firms to think about how they could improve their communications to help customers make better financial decisions. It also set out its intention to consult on amending disclosure documents.
The FCA is proposing to amend rules and guidance about:
- The Consumer-Friendly Principles and Practices of Financial Management
- Short report
- The Initial Disclosure Document/Combined Initial Disclosure Document
- Services and Costs Disclosure Document.
Christopher Woolard, director of strategy and competition at the FCA, said: “We would like to see firms changing the way they interact with their customers. We have been encouraged to see a number of firms are already doing this.
“Today’s announcement reflects our commitment to sustainable regulation and addresses disclosures that are not working for consumers, giving firms the freedom to communicate with their customers in a more flexible and open way.”
The consultation will close on 18 December 2015.
The FCA is currently reviewing the feedback received on the Smarter Consumer Communications discussion paper and will consider whether further changes can be made to improve customer outcomes.
