Additional information request from the FCA for DB transfer advisers

Last month the FCA sent out another information request to providers of defined benefit transfer (DB) advice. This is the second information request looking into the DB transfer market since the beginning of this year. The latest information requests must be completed and sent to the FCA by 11 December.

This is the latest in the raft of increased supervision that we have seen in this area. The FCA said it would continue to engage with firms that it assessed under its suitability review. Invariably some providers of DB transfer advice will choose to leave the market due to this increased scrutiny.

Work by the FCA regarding the review of ongoing advice charges in the DB transfer market has been postponed until early 2021. So we will continue to see more action in the DB advice market from the FCA.