Likewise, member service should align appropriately with the consumer duty and savers should be able to easily get help and information when it is needed.
The FCA has looked to implement simplicity into its framework.
Schemes will be ranked on their value for money via a red/amber/green system for each arrangement.
Now we learnt back in primary school that green equals ‘go’ and is associated with good, and red means ‘stop’ and is bad. Therefore, the simplicity of this system could work well for employers.
Overall this framework may not solve everything within the next couple of years but it is certainly a step in the right direction and will help clients make better choices.
With the introduction of auto-enrolment, the default option has taken precedence and so there needs to be more responsibility by providers to make sure savers have clear information, are better informed and are ultimately getting value for their money.
And for all of you that are dying to know, after some research I ended up buying a pair of shoes for triple the cost, which haven’t caused blisters, haven’t split and are likely to last me for years. So I got my value for money in the end.
Amy Austin is news editor at FT Adviser
