Britain’s Financial Services Consumer Panel (FSCP) is calling on bankers to change their culture to give consumers a fair deal and restore trust in the financial industry.
The FSCP notes that it has highlighted a lack of professional ethics, and blamed an ethical failure for many of the recent banking scandals. In response, it has called for the adoption of a new set of professional standards for bankers, and stresses that there’s a need for straightforward products that consumers can trust.
“Consumers need the right products at the right price. This should mean an end to inducements related to product choice and sales volumes. It should also be accompanied by firms offering straightforward outcome products that do what they say on the tin,” said Mike Dailly, FSCP working group chair at an industry conference Tuesday.
Dailly also noted that the new industry regulator, which has new consumer protection and competition duties, “will be an important driver for progressive change.” However, he stressed that, “Regulation alone will not be enough.”
“Only organizational leadership in the industry coupled with a commitment to cultural change and the adoption of a new set of consumer values will be key to restoring trust,” he said.