Advisers confident they have met Consumer Duty requirements

Nine out of 10 financial advice firms are confident they have met the key outcomes of Consumer Duty this year, despite the significant challenges it presented.

According to research published by Dynamic Planner, technology has been a key enabler, with 85% of respondents saying it has improved their ability to serve clients, and close to three quarters believing it is also helping them to meet regulatory requirements.

The research was based on the 6,950 users of Dynamic Planner, and indicated that regulation had also been cited by one in four respondents as being the “number one headache” in 2023.

Chief revenue officer at Dynamic Planner, Yasmina Siadatan, said: “The financial advice industry has embraced technology and its ability to help firms meet regulatory requirements, whilst unlocking productivity gains and deepening client relationships.

“Advisers were faced with a significant test this year in the form of Consumer Duty – but despite the challenges, the mood is one of resilience and looking to the future.”

Dynamic Planner also said its survey has suggested the financial advice industry is “thriving”, as firms have continued to increase adviser numbers, and the vast majority (70%) of advice professionals are serving more clients than they were three years ago.

According to the findings, advisers are happy in their roles and would overwhelmingly recommend careers in the industry to others, as nine out of 10 under-30s would recommend financial advice as a career.

Dynamic Planner also found that smaller firms are the most likely to have reduced adviser numbers, and close to a third of those in single-adviser firms are looking to retire or sell up. As a result, the consolidation trend in the industry looks set to continue apace.

“Overall, despite the economic environment and regulatory shift, the mood is positive, and some of the challenges may be easing as 2023 draws to a close,” Siadatan added. “Although Consumer Duty implementation has not been easy with firms viewing regulation as their biggest headache – they also are confident they have got it right.

“Firms are making significant productivity gains through the use of apps, tools and other new technologies, allowing advisers to service more clients more efficiently. As these efficiencies grow, firms could unlock the ability to service lower-value clients – something they currently identify as too time-consuming for the profits available.”

Share Story:

Recent Stories

Helping landlords make their cash work harder
MoneyAge Editor, Adam Cadle, talks to Family Building Society BDMs, Arif Kara and Nathan Waller, about the resilient BTL market, the wide variety of landlords that Family Building Society caters for, and how niche products like an Offset mortgage can help improve cashflow.

An outlook on the BTL market
MoneyAge Editor, Adam Cadle, talks to Landbay senior regional account manager, Alex Witham, about current market sentiment within the BTL space and Landbay’s success in this area

Empowering advisers: A decade of education in Later Life Lending with Air Academy
Michael Griffiths is joined by chairman of Air Club and former founder and CEO of Air, Stuart Wilson, and head of the Air Academy, Daniel Holden, to look back on a decade of business focused learning at the Air Academy.


Subscribe to our newsletter to receive breaking news and other industry announcements by email.

  Please tick here to confirm you are happy to receive third party promotions from carefully selected partners.