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Friday, 16 November 2012

Millions of Britons 'could fall into financial advice gap'

Up to 5.5 million people could fall into a financial advice gap created by the Retail Distribution Review (RDR) unless workers in the industry do something about it, Deloitte has warned.

The RDR comes into effect on December 31st and will require financial advisers to clearly explain to customers how much the information they receive will cost and how it will be paid for.

However, a survey carried out by the firm found that millions of Britons may stop seeking advice because they are reluctant to pay the charges.

The government has argued that the shake-up will make the industry more transparent for consumers, but Deloitte warns that many people will be surprised and so a third of UK adults could try to do their own financial planning.

Lead RDR partner for Deloitte Andrew Power said people in financial sales jobs will need to take action if they are to avoid this.

"The challenge and opportunity for banks, insurers and fund managers is to bridge this gap by developing business models that allow them to deal directly with customers and by offering streamlined, lower-cost advice," he added.

As a recruitment provider to many of the UK’s major banks, mortgage lenders and building societies Aaron Wallis have a deserved reputation within Financial Services recruitment. Their dedicated FS consultants recruit sales professionals across Retail Banking and Financial Services including IFA’s and Mortgage Broking.

Posted by Wayne Bly
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Source: The Sales Executive News

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