The More2Life bi-annual vulnerability report showed that 39 per cent of advisers wanted additional education with more detail.
Some 97 per cent of advisers said this was ‘very important’ to be aware and understanding of a client’s vulnerability.
Only one in eight advisers said identifying vulnerabilities was ‘easy’ which More2Life said indicated how seriously they took the issue and raised the need for new or expanded resources.
Ahead of Consumer Duty’s implementation, advisers said the new rules would have an impact on the knowledge needed to manage vulnerable clients.
Some 28 per cent said this would call for enhanced security, 26 per cent said clearer documentation of the process would be needed, while 13 per cent said there would be a greater expectation for more regular post-sale contact from both the lender and adviser.
More than half of the advisers polled by More2Life said education and training on vulnerable clients had improved in the past year, higher than the 22 per cent of advisers who felt the same in 2021.
However, only 21 per cent of advisers said the current resources and education available were sufficient.
As for the reasons a client may be vulnerable, advisers revealed that the rising cost of living had impacted a third of their clients. Some 43 per cent said interest-only mortgages had made their clients more vulnerable and 42 per cent said their older age.
A wider range of training
Ben Waugh, managing director at More2Life, said: “While lenders, platforms and networks are being proactive in providing training and information, it is vital that our industry keeps pace with this evolving issue. Close collaboration is paramount to ensure that the most vulnerable customers receive swift and effective support in a challenging economic environment, and knowledge is key.
“Access to a wider range of training will empower advisers in the new regulatory environment. Educational resources such as learning modules on client vulnerability will equip advisers to both identify vulnerability and provide bespoke support on a case-by-case basis. Not to mention, the most prepared advisers will be able to seamlessly adjust to the new Consumer Duty regulations and provide thorough evidence of compliance when it comes to vulnerability.”
