The Association of Professional Financial Advisers has told the Money Advice Service that take-up will be low for its proposed retirement adviser directory if it attempts to act like a regulator and impose standards beyond those of the regulator.
Yesterday (6 june) Mas finally conceded it had not done enough to push consumers towards financial advisers and unveiled plans to launch an adviser directory. The plans for the directory included setting standards for advisers who will appear on the listings.
Chris Hannant, director general of Apfa, said: “We think there needs to be a directory of advisers for retirement, to complement the pension flexibility reform. Mas needs to make it attractive to advisory firms.
“If they try to be a regulator, as they suggest by setting further standards beyond FCA requirements, not only will take up be low, but they will not be able to justify funding from the whole advisory sector.
“We welcome that Mas recognise the fact that criteria need to be set in agreement with industry and consumer representatives, and will work with Mas on getting this right.”
Mr Hannant’s criticism of the approach taken by Mas comes after an independent review of the Money Advice Service was ordered by HM Treasury.
The much-anticipated review of Mas will be led by Christine Farnish, who was previously chief executive of the National Association of Pension Funds.
Andrew Tyrie, chairman of the influential Treasury select committee, said the review must assess the service’s statutory status and examine whether its governance arrangements are “robust”.
