The FCA faces a challenge if it wants to make its Targeted Support framework work in practice, according to James Heal, director of public policy at St James’s Place.

He said it’s essential that the framework is scalable for firms and trusted by consumers.

Mr Heal said: “As it stands, rules on how firms handle additional volunteered information risk making delivery impossible in person.

“A simple playback mechanism, where customers confirm they share the common characteristics the support is built on, would solve this and allow delivery across both digital and face-to-face channels.”

He said simplified advice must also be part of the picture. “Today it sits too close to full advice to work at scale. A more distinct, proportionate regime could bridge the gap between targeted support and personalised advice, while opening up new pathways for future advisers.

“Ultimately, Targeted Support can only succeed within a wider ecosystem from financial education and guidance, through targeted support and simplified advice, to full personalised advice.”

The regulator’s consultation into its new proposals closes today and has been widely welcomed by adviser firms.

Mr Heal said Targeted Support “could be a regime that gives firms the confidence to innovate and consumers the confidence to act.”

He said The FCA’s approach shows “real progress” with clearer boundaries from personalised advice, a stronger focus on consumer testing, and the “sensible decision” to remove pension consolidation from scope.

The Targeted Support proposals have been broadly welcomed by financial advisers.

Half (48%) of financial advisers expect the more relaxed regulatory framework brought about by Targeted Support to be an opportunity to attract new clients in the next 18 months, according to a report from Nextwealth and Aegon.

The FCA published its proposals on ‘targeted support’ in June. The changes would allow firms to make financial guidance suggestions to groups of consumers with 'common characteristics'.

In its proposals the FCA said: “We are proposing a new form of support – targeted support – in pensions and investments, which would enable firms to provide suggestions designed for groups of consumers with common characteristics to help them make important decisions."

The FCA said the reforms should set the framework for the next 20-30 years, to support consumers now as well as future generations.

Wealth manager St James’s Place returned to profit last year after introducing a simpler and more comparable charging structure following customer complaints.

Chartered Financial Planner Amy Gray, of Amy Gray Wealth Management in Hull, has been named St James's Place Chartered Financial Planner of the Year in St James’s Place seventh Annual Chartered Awards.

Wealth manager St James’s Place has given fund manager Schroders a £5.2bn sustainable investment mandate.

Some 62% of advised clients have never switched financial adviser, according to a major survey by wealth manager St James’s Place.

The Financial Ombudsman Service (FOS) received 485 new complaints about wealth manager St James’s Place in the first half of 2024 - almost double the previous half year - despite total complaints for the pensions and investments sectors falling.

Wealth manager St James’s Place saw assets under management rise to a record £184.4bn at 30 September (Q3 2023: £158.6bn), despite a drop in net inflows for the quarter.

The Personal Finance Society (PFS) has appointed Carla Brown as the professional body’s new president.

The St James’s Place Financial Adviser Academy has welcomed 180 newly-qualified advisers to a career in Financial Planning.

Two thirds (68%) of UK adults believe it’s important they leave an inheritance, but mortgage and rental costs are hitting their hopes of handing down a legacy.

Despite wanting to leave an inheritance, the majority of UK adults are struggling to do so, according to a new study from wealth manager St James's Place.