Opinion  

FCA reforms on phoenixing are not strong enough

Liz Field

Liz Field

As a result, in our response to the consultation we have asked them to consider these claims. Given the FCA is specifically trying to prevent individuals related to companies from profiting from their poor behaviour, it makes little sense to allow them to continue doing so through a different redress route.

That the FCA has acted on recommendations made to it by the industry shows it does listen and that positive engagement with the regulator yields results.

Over time, this proposed ban should reduce some of the transfer of risk onto the FSCS. It may also help to lower the FSCS levy burden on our industry, although this may take longer.

Liz Field is chief executive at Pimfa