In more2life’s 2020 Vulnerability Report, 39% of advisers said they had seen more vulnerable customers over the last 12 months, up from 30% in 2019.
more2life has urged advisers to protect vulnerable customers by responding to the Financial Conduct Authority’s (FCA) call for a new Consumer Duty.
The regulator’s proposal aims to establish a higher level of consumer protection in retail financial markets, with the FCA extending its existing rules and principles to ensure advice firms produce consistently positive outcomes for clients.
The FCA’s 2020 Financial Lives Survey suggested that COVID-19 increased the number of adults displaying characteristics of vulnerability in the UK to 27.7 million.
more2life’s 2020 Vulnerability Report supported this view, with 39% of advisers saying they had seen more vulnerable customers over the last 12 months, up from 30% in 2019.
Stuart Wilson, corporate marketing director at more2life, said: “As an industry, we need to engage with the FCA as they look to establish a higher level of consumer protection in retail financial markets.
“They are the regulator but they don’t speak to ordinary customers on a daily basis as most later life advisers do so it is vital that you feed into the consultation so they are able fully understand the diverse needs and wants of over-55s.
“The impact of COVID-19 has been felt physically, mentally and financially by most people in the UK – making some more vulnerable than they may otherwise have been.
"This consultation which focuses on ensuring firms produce consistently positive outcomes for clients will help us to support them better.
“Taking the time now to ensure that your voice is heard and your clients’ needs are captured will pay off in the long run – helping to make the industry more robust customer-centric than ever.”
