Financial Conduct Authority  

Trade body chief slams "dangerous" FCA paper

"So I will be fighting quite hard to make sure that none of this happens. However, unless the other lender trade bodies fall behind us on this I think it will be hard to push back against all of it."

Some advisers have also accused the FCA of doing a ‘complete 180’ and a ‘u-turn’ regarding its stance on mortgage advice.

Responding to the advisers' criticism, an FCA spokesperson said the regulator was willing to allow the market, be it brokers, intermediaries or lenders direct, to refer customers in a way which allows them to exercise their choice.

The spokesperson said: "We remain vigilant about advice and the need for advice but that should not be at the expense of innovation for consumers who have the ability and the knowledge to execute themselves or be advised by a broker.

"If our rules are pushing people into unnecessary advice or acting as a barrier to innovation that is something we need to think about."

The FCA's consultation on potential changes to mortgage regulation is expected to be published in the final quarter of this year.

imogen.tew@ft.com

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