With so much effort spent focused on implementing the immense amount of imminent regulatory change, many financial services organisations are left considering, what comes next? What does the world look like post-October 2021 and where should that effort be re-focused?
It’s no secret the volume of regulatory change coming down the pipeline for financial services organisations is vast. In October alone, there are no less than six reforms going live which include the design and distribution obligations, restrictions on the unsolicited selling of financial products (hawking), a deferred sales model for add-on insurance products, reference checking and information sharing requirements for financial advisers and brokers, revised breach reporting requirements and internal dispute resolution. And this is just the beginning, with further regulatory change on the horizon.
While no-one could argue with the fact that these changes are positive for the industry and ultimately support fairer outcomes for consumers - for organisations implementing this change, the process has been complex, and firms have been left grappling with how to embed separate (but connected) pieces of regulation.
There is nothing permanent except change
As the wise words of Heraclitus suggest – there is more to come. This recent period of implementation, while it has been intense, is moving the industry in the direction we all want to go – improving outcomes for customers. But we know further change is inevitable.
Being able to re-focus efforts from implementation to BAU management successfully, while considering the lessons learnt throughout this period, will stand firms in good stead to successfully manage future regulatory driven changes.