Culture, Governance, and Monitoring

The FCA's latest insights into Consumer Duty aren’t just a regulatory update; they’re a wake-up call to the financial services sector to prioritise consumer interests at every level of operation. Firms must weave customer interests into their corporate fabric, from boardroom discussions to the frontline staff's daily interactions. It's not merely about compliance; it's about redefining the ethos of financial services to prioritise the people they serve.?

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But here's the kicker: despite the push, some companies are playing catch-up, struggling to fully integrate these principles into their business models. The FCA's review sheds light on the urgency for improved governance, a culture that breathes good customer outcomes and sharper monitoring strategies to ensure no consumer is left behind. The risk of lagging? Beyond regulatory repercussions, it's about potentially tarnishing your brand's trust and integrity in a market that's increasingly putting customers first.?

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Why the rush? In a digital-first world, consumers are more informed and have higher expectations than ever. Not to mention the end of July deadline to implement Consumer Duty for closed products – ones that were sold before 31 July, 2023, but have not been marketed or sold to new customers since. Firms that align with the Duty now are not just future-proofing against regulatory changes; they're setting themselves up as leaders in a trust-first financial marketplace.?

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So, what's the play? For businesses, it's time to double down on embedding these principles into the DNA of their operations. It's about more than just avoiding penalties; it's about seizing the opportunity to stand out in a crowded market by championing consumer interests. The message is clear: act now, transform your culture, governance and monitoring processes and flip compliance from a regulatory obligation into a competitive advantage.?

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