FSA consultancy charging working group unveiled with SPC’s Hodge as chair

The FSA’s working party on consultancy charging will be facilitated by the Society of Pensions Consultants.

The Consultancy Charging Working Group will be chaired by SPC Chairman, Sir James Hodge.

The working party is charged with arriving at a clear and comprehensive statement of the factors which should be taken into account when considering any GPP scheme, ‘while recognising at the same time that there will be no single solution as to what makes for the most equitable allocation of consulting charges’.

The FSA will provide the secretariat of the working group and will observe, but not participate in its deliberations. Membership of the working group will include representatives drawn from trade bodies, providers, IFAs, EBCs, third party administrators and consumer bodies.

It will begin its deliberations in October 2010 and aims to deliver proposals and suggestions on how corporate advisers communicate consultancy charging to employer clients by 28 February 2011.

John Mortimer, secretary of the SPC says: “The FSA has asked the SPC to facilitate this working group because its membership represents a body of expertise on various aspects of corporate advice. We have not only employee benefit consultants and corporate IFAs but a significant number of provider members who are keenly interested in how consultancy charging will work so we are well-placed to involve as broad a spectrum of stakeholders as possible.”