Update on the Consumer Duty implementation



The Consumer Duty creates a new Consumer Principle that requires firms within the scope of the duty to act to deliver good outcomes for retail customers. The duty came into force fully on 31 July 2023 and has been at the forefront of discussions between all entities connected to the "supply chain" of any financial product which ends at a retail customer.

Who does the duty apply to?

The Consumer Duty is designed to have a broad application and applies to all FCA authorised firms. The duty applies to all firms that have a material influence over, or determine, retail customer outcomes. A firm is considered to have a material influence where, in practise, it exercises discretion over customer outcomes.

What is expected of firms the duty applies to?

What is actually expected of each firm in relation to the Consumer Duty will be interpreted in the light of what is reasonable given the circumstances, including the firm's role in the distribution chain, from product and service origination through to distribution and post-sale activities.

How has the market responded so far?

We have seen a real mix in terms of take up on the option to provide additional information in relation to cost analysis, with some firms providing links to spreadsheets and others choosing not to share anything. Clearly market practice is still very much developing in this area and we expect to see a continued increase in scrutiny from platforms.

How can we help?

We have regularly been assisting clients navigate the new Consumer Duty obligations. We are always available to advise our clients in respect of these new obligations and share our experiences of how they are being adopted across the market. 

If you have any questions or seek legal advice in respect of your obligations and compliance requirements, please contact Alexander Wood (, Marc Proudfoot ( and/or Keith Lassman (

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