Comparing deals could become easier for financial customers under regulator plan

Rule changes to enable people to receive clearer information from financial firms to make it easier for them to find and compare products are being considered by the City regulator.

The Financial Conduct Authority (FCA) is exploring how it can simplify communications about savings accounts.

It will also review parts of its credit advertising rules, such as lengthy terms and conditions.

The regulator is also looking at its expectations for mortgage lending, as part of a range of proposals to streamline its rules, reduce burdens on businesses and improve outcomes for consumers.

The work will help to build on the Consumer Duty which was previously introduced by the regulator, requiring financial firms to put customers at the heart of what they do, including in their communications and in the design of their products.

The FCA also said it has received “clear feedback” from industry that now is not the time for widespread changes to its rules.

It said it will continue to engage with industry and others to “get the balance right”.

Its plans include reviewing current disclosure rules to give firms more flexibility to tailor their communications to customers’ needs and preferences, such as online and digital transactions.

It also plans to “retire” some guidance for firms which has become outdated.

The UK Government has put a strong focus on economic growth, including looking at ways for regulators in general to work more efficiently.

Sarah Pritchard, the FCA’s executive director of competition, consumers and international said: “These proposals are part of our long-term efforts to future-proof our rules, reduce burdens for financial firms and will help the ambitious government targets to cut the cost of regulation.”

The FCA said it has set four priorities to focus on for its five-year strategy – helping consumers, fighting crime, supporting growth and being a “smarter regulator”.