Inside FCA Podcast: Understanding the Consumer Duty products and services outcome

The Financial Conduct Authority (FCA) has published the transcript of a podcast relating to the new consumer duty. Specifically, the transcript includes an interview with the FCA’s Head of Consumer Policy Outcomes, Mr. Richard Wilson, as regards the products and services outcome of the new duty. Therein, the Head describes
– what is meant by „products and services outcome“ from the regulator’s point of view;
– how the new „products and services outcome“ requirements fit into existing product governance rules;
– who the new requirements in this context apply to;
– the factors that shall be considered when determining a target market and when testing the target market and the expectations of the FCA in that regard;
– the regulator’s expectations when it comes to „products and services outcome“ for vulnerable clients;
– the preparations firms must make, particularly product manufacturers, in the near future (by April 2023);
– the regulator’s expectations as regards the regular review of products by both manufacturers and distributors and what firms shall do if any issues arise during such reviews; and
– the supervisory approach of the FCA to determine whether or not a firm is meeting its new consumer duty requirements.