Your feedback on how we could simplify our Consumer Duty requirements and our planned approach.
September 2025 update: we have published an update on our work[4] to streamline our rules and reduce complexity for businesses following the introduction of the Consumer Duty.
We want to address longstanding concerns from firms about the length and complexity of our rules and guidance.
In July 2024, we published a Call for Input[2] to understand how we could simplify our requirements following the introduction of our landmark outcomes-focused Consumer Duty[5].
We received 172 responses from a wide range of stakeholders and held a series of meetings, roundtables and events in late 2024.
FS25/2 outlines an ambitious programme of action we will take to simplify our requirements of firms, covering commitments for immediate action and proposals for longer-term work. We will set out further detail in September 2025.
This publication will primarily be of interest to:
See FS25/2[5] for the actions we will take.
We will use an accelerated consultation process to act immediately on the measures in FG25/2 where there is a clear case for change and where there is stakeholder appetite to go quickly.
We will review all Dear CEO letters and portfolio letters pre-dating our 2022-25 strategy[5] and seek to withdraw them, subject to any exceptions. We will keep these documents publicly available.
In the areas where there has been mixed feedback, we will engage further with stakeholders to:
We plan to hold an in-person summit in summer 2025 to discuss these issues.
We will publish a further statement to outline our full programme of work in September 2025.
The Consumer Duty sets a high standard of care that firms must give to their retail customers. Its introduction provides us with an opportunity to consider whether we could help firms and support innovation by removing detailed and prescriptive requirements that cover similar issues, and where similar customer outcomes could be achieved with greater flexibility.
Since 29 August 2023, we’ve had a new secondary objective[6] to facilitate the international competitiveness of the UK economy (including the financial services sector) and its growth in the medium to long term, subject to aligning with international standards.
We want our approach to the Duty to support these aims by allowing for more effective competition and innovation. Consumers should have access to products and services suitable for their needs, and which provide fair value, appropriate communications and consumer support, while also improving trust in, and the reputation of, UK markets.
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