How will the FCA’s Consumer Duty affect the need for Technology

The Financial Conduct Authority is a UK independent body which oversees the conduct of financial institutions. Relevant businesses should conduct themselves in a manner which is FCA compliant, in order to avoid receiving penalties or fines.

FCA Consumer Duty

The Consumer Duty was implemented by the FCA in July 2023. It is a set of rules that must be followed by all financial services firms, which aim to protect the consumer.

It has been widely accepted that, on a general level, manual compliance simply does not meet the stringent criteria set by the Consumer Duty; therefore, the right technology is needed to ensure that businesses remain compliant.

Technology has now evolved so that it can be aligned with UK financial services regulation. This includes alignment with the 4 Consumer Duty principles of products and services, pricing and value, consumer understanding, and consumer support.

It can also assist businesses to generate the required outcome evidence and auditing reports, that are also a requirement of the FCA.

Regulatory expectations are complex and can change frequently. With the right technology in place, firms can create and modify expectations, without reliance on outside engineers or third-parties. This ensures that technology has longevity, whatever changes occur.

FCA Compliance Consultants

Expert FCA compliance consultants can help to ensure that your business stays abreast of the latest FCA requirements.

Whether you are looking for FCA compliance support, assistance with authorisation and registration, or compliance training and elearning opportunities, specialist consultants can deliver solutions tailored to your business.