Rory Percival: Advisers should be able to enjoy a quiet 2021 from regulator

Sophie King reports

Regulatory guru and former FCA man Rory Percival has said he believes 2021 will be a much quieter year for advisers in terms of regulatory changes.

Speaking to Professional Adviser, Percival (pictured) said he does not anticipate much change coming from the Financial Conduct Authority (FCA) around supervision and policy.

The regulatory consultant said: “I think advisers will be quite pleased to hear it might be a quiet year from the regulator.

“I don’t think there’s going to be that much new coming out so I think advisers can enjoy a comparatively quiet time. There’ll still be plenty of noise, but in terms of changes I don’t think there’ll be very much.”

Percival said there had recently been a “log jam” of regulatory changes that came in a few years ago – for example, MiFID II and the senior managers & certification regime – but added there has not been a huge amount of new policy development.

“There’s not much coming down the line. Both policy and supervision have been held up somewhat by the Covid-19 pandemic so that has diverted an enormous amount of resources away from their [the FCA’s] business and usual activities.”

Elsewhere, Percival said the two main topics of focus within financial services, and possibly from the FCA, will be centralised retirement propositions and ESG.

“Although we may or may not get new regulation around ESG, I think the sector is doing a lot of work an thinking about how that will affect their advice propositions.”