Simple products group proposes product kitemark
Carol Sergeant has outlined proposals for a range of simplified products in an interim report.
Ms Sergreant, former head of the FSA’s enforcement division, was commissioned by the Treasury last year to report on how a simple products scheme could operate.
An interim report by her independent steering group has recommended creating an easy access savings account, a 30-day notice account and a simple term life insurance product.
These would be backed backed by a “Simple Products” accreditation body and a kitemark badge.
A final report will be published in Ferbruary 2013.
Financial secretary to the Treasury Mark Hoban said: “The government is committed to putting the consumer back at the heart of the financial system, but we understand that restoring public trust in financial products is not an easy task at the moment.
“I am pleased to say that ‘simple’ financial products offer a unique opportunity to demonstrate that products can both be easy to understand and meet customers’ most important financial needs.”
Ms Sergeant said: “When consumers arrive at the financial marketplace there should be simple processes and products available to allow them to make an informed and straightforward decision. I would like to thank all the participants from consumer groups and industry who have engaged with the project so far, and look forward to the next stage in this process.”