'Grotesque injustice' - advice firm hits out over FSCS bill
13 Jan 2016
The way that the Financial Services Compensation Scheme is funded is a “grotesque injustice” against advisers and also unsustainable, the FCA has been told.
The SimplyBiz Group has outlined the key changes it believes needs to be made to regulation as part of the Financial Advice Market Review.
In a letter to the FCA, published this morning, it heavily criticised the method of paying for the FSCS.
The company said: “The FSCS is an essential element of the framework of consumer protections. However the current funding model, with the adviser bearing the costs for this compensation fund, is grossly unfair and unsustainable. The current method is so unfair as to be a grotesque injustice in respect of IFAs.