“We are fully aware that our proposition is going to Mrs Miggins therefore, there's an obligation of duty for us to look through the whole process now.”
Kenny said in the old days, people would say “I did my bit right and it's not my fault that it was then utilised in the wrong way”.
“That is no longer an acceptable defence,” he said. “And the necessity now to provide information to justify the value you provide is going to be very, very significant in terms of information to the client.”
A solution to this could be a service similar to what Go Compare offers, but for advisers, where clients are able to input a postcode and find out what the average adviser in the community is charging.
“Of course value is a very personal thing, it's a personal choice, but that form of price comparison is going to become more and more prevalent as the regulator has greater transparency and therefore more informed choice.”
sonia.rach@ft.com
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