FSA statement on the Treating Customers Fairly initiative
12 Nov 2008 12:02 PM
The Financial Services Authority (FSA) has today announced that it will accelerate the full integration of Treating Customers Fairly (TCF) into core supervisory work.
TCF remains central to the FSA's retail strategy, and firms are expected to meet the December 2008 deadline. As from January, delivery of TCF will be tested as part of firms’ usual supervision.
Jon Pain, managing director of the FSA’s retail markets, said:
“Today's announcement means the FSA can deliver the benefits from the TCF programme more quickly. Our focus will be on the outcomes for consumers. We will continue to challenge firms rigorously where there are issues and take decisive action where necessary.
“The standard against which firms will be judged remains high, and the penalties for not complying remain tough.”
The FSA has today also published a TCF update reminding firms what is required of them and explaining how firms will be assessed.
Notes for editors
- FSA update on the Treating Customers Fairly initiative and the December deadline can be found on the FSA website
- From next year, TCF will be embedded into ARROW and firms' compliance with the December deadline will be assessed by using ARROW – it will become an integral part of regular assessments of relationship managed firms; and the progress of small firms will be assessed via the three-year regional assessment programme under the enhanced strategy.
- As a result of this, we will no longer publish a report on the final TCF December 2008 deadline, originally planned for Q3 2009.
- The rolling programme of assessments under the FSA enhanced strategy for small firms began in Northern Ireland in March 2008 and aims to cover 11,300 retail intermediaries over three years.
- The FSA regulates the financial services industry and has four objectives under the Financial Services and Markets Act 2000: maintaining market confidence; promoting public understanding of the financial system; securing the appropriate degree of protection for consumers; and fighting financial crime.
- The FSA aims to promote efficient, orderly and fair markets, help retail consumers achieve a fair deal and improve its business capability and effectiveness.