ePolitix.com Stakeholders comment on the news that the news that the Treasury has, today, published the Thoresen Review of Generic Financial Advice.
The review sets out recommendations to improve access to financial advice and to make it affordable, particularly for the most vulnerable groups.
Stakeholder response: The Chartered Insurance Institute
To send a comment to to the CII click here
A spokesperson said: "We believe the Thoresen Review-proposed Money Guidance (MG) model will work if the consumer is prompted to action. We agree with the review that for MG to win public trust and confidence, it must: use language that is clear to the consumer and jargon-free; encourage further action by the consumer; have a robust system of accreditation for those providing guidance to ensure that consumers receive the highest quality of service; have clear protocols to link with regulated advice; and dovetail with the FSA's Retail Distribution Review (RDR) so it is a platform to access appropriate advice.
"Through our experience and capability as a professional body, we believe we are well-placed to make a significant contribution towards the development of a universal advice system. Money Guidance can help address the reputational issues surrounding financial services as well as tackle long-term savings and protection gap."
Stakeholder response: Help the Aged
To send a comment to Help the Aged click here
David Sinclair, head of policy, said: "The Thoresen report rightly makes a strong case for investment in a new national money guidance service. Plenty of people need some advice and help when it comes to managing their money.
"It's essential that the proposed service is available for people of all ages. For too long, money advice programmes have tended to focus on specific parts of the population rather than recognising that money advice is needed throughout people's lives.
"The response from government looks likely to result in yet another pilot project. This is at best disappointing and at worst unnecessary procrastination. It's obvious what needs to be done to help people and it's about time the government set concrete plans for helping them. Some older people have enough to worry about financially, without adding pilot fatigue into the mix."
Stakeholder response: Investment Management Association
To send a comment to the IMA click here
A spokesperson said: "The Investment Management Association (IMA) welcomes Otto Thoresen's recommendations for a National Money Guidance Service, and believes that the government has to show leadership in taking this forward. It must demonstrate that the service can build on existing debt and money services and that a sustainable, value-added, public service can be delivered.
"The IMA believes the new service can complement the existing debt and money advice services and should include a focus on people who have money to spare, but do not save, and people who do not save enough. The service could help guide and educate individuals on how to plan ahead and save accordingly and show them where to find specialist advice in that process.
"IMA believes there are still significant practical challenges before a coherent service can be established, that provides real, measurable benefits for consumers and stakeholders. It will continue to contribute as a 'strategic partner' and in supplying information and training on investment for the service and its delivery partners."
Victoria Nye, director of training and education at IMA said: "There are already good quality services that help people with debt issues. It is also important to have an impartial, accessible service that will increase people's willingness to save and invest wisely for their future needs.
"Educating the public on financial matters has become essential; the National Money Guidance Service has to demonstrate that it is adding value to what is already on offer - from existing debt advice services through to regulated financial advice."
