4 Contents Products and services, and the consumer duty framework What do the FCA proposals involve How to achieve FCA achievements (extracts from threesixty’s Consumer Duty action plan Commonly asked questions Contents and introduction This is the first in a series of guides designed is to assist firms when preparing for the FCA’s new Consumer Duty. It is intended for distributor firms that offer, sell, recommend, advise on, propose or provide a product or service. It does not cover requirements for product manufacturers. Product manufacturers should contact us for guidance if required. There will be a total of four guides in this series, each covering one of the outcomes under the Consumer Duty framework. Each guide will adopt the same format i.e. an overview of a consumer duty outcome, advice on how to demonstrate that the outcome is being achieved, and answers to the commonly asked questions we receive to our helpdesks. Additional guides in this series will include: • Price and value • Consumer understanding • Consumer support For the products and services outcome, the FCA wants all products and services for retail customers to be fit for purpose. These should be designed to meet consumers’ needs and targeted at those consumers. Note Firms have until 31 July 2023 to fully implement the Consumer Duty in relation to new and existing products or services. This is the date that will apply to the majority of services provided by intermediary firms. Manufacturers are also required to share key information with distributors three months ahead of this deadline to enable all firms to comply in time. By the end of October 2022 the FCA expects firms to have implementation plans in place. These plans should be agreed by the firm’s board/senior management team who will be overseeing implementation. Firms have until 31 July 2024 to apply the Consumer Duty in respect of products and services held in closed books, for example legacy products. 5 6 7 14
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