Toni Hatton, Head of Compliance, reflects on the third anniversary of Consumer Duty and the progress the industry has made.
Here’s what she had to say:
Three years on from the introduction of Consumer Duty, the focus has rightly shifted from implementation to demonstrating meaningful outcomes for members. The Duty has encouraged firms to think differently about how products are designed, communicated and supported, with fair value and good customer outcomes remaining at the heart of those decisions. It has also helped strengthen the industry's focus on understanding customer needs, identifying potential harm and ensuring support is available throughout the customer journey.
The sector has made significant progress in adapting products, services and communications for vulnerable customers, and that focus has rightly broadened to delivering consistently good outcomes across all clients, members or consumers.
As a mutual, putting members first has always shaped our approach, so over the past three years Consumer Duty has reinforced principles we have long believed in. The priority now is to continue learning from data, customer insight and adviser feedback, and to act where improvements are needed. Consumer needs and expectations continue to evolve, and so must firms. Delivering good consumer outcomes is an ongoing commitment to continuous improvement, not a one-off exercise.
Success will ultimately be measured not by compliance with the rules themselves, but by the demonstrable difference firms make to consumer outcomes.