“The industry is facing a decisive year with a review of the advisory and guideline limits”

The financial services industry faces a “decisive year” as further details of the FCA’s Advice Guidance Boundary Review emerge, according to Alex Loydon, retail banking director at St James’s Place.

She said the review could open the door for companies to find “innovative ways” to help individuals make better financial decisions.

“However, maintaining consumer protection will be paramount. We need to ensure that any new frameworks provide clarity and trust and prevent situations where consumers confuse guidance with regulated advice,” Loydon added.

Simon Harrington, head of public affairs at Pimfa, also said 2025 was likely to prove “transformative” for the way British consumers make financial decisions as part of the review, as he responded to the targeted support proposals came in.

He said: “Properly delivered, targeted support will give consumers the information they need at the right time and provide them with a level of reassurance and support that the vast majority of unadvised consumers need but cannot achieve.”