Firms must act now to deliver new consumer duty, says FCA official

VICKY SHAW

FIRMS must act now to prepare for a new consumer duty, a boss at the City regulator has said.

Sheldon Mills, executive director of competition and consumers at the Financial Conduct Authority (FCA), told firms yesterday: “You still have time to deliver. But you must act now.”

The consumer duty will set clearer and higher standards of consumer protection across financial services, requiring firms to put customers at the heart of what they do.

The rules come into force on 31 July for new and existing products or services that are open to sale or renewal, and 31 July next year for closed products or services.

Mills said: “Our work on the consumer duty predates the cost of living squeeze but the current economic climate highlights the need for those high standards and protections.”

“Hard economic times hit those at the bottom of the financial ladder the hardest, so the duty does carry responsibility to look out for customers with vulnerabilities,” Mills said.