Last October, FCA regulated firms were busy preparing for the first step on their Consumer Duty journey ahead of the Halloween deadline for implementation plans.
Fast-forward three months, and the regulator has now provided their first in-depth analysis of some larger ‘fixed’ firms’ plans in turn giving a clearer picture of their expectations through key findings.
So, how does this snapshot help your firm implement positive, Duty-focussed change?
Well, a key area the FCA noted was:
“We saw some plans that suggested firms may have considered the requirements superficially or are over-confident that their existing policies and processes will be adequate.”
Therefore, this short but significant window of time before the 31st of July 2023 can be used to consider whether you have given enough in-depth thought to how you will monitor, and evidence good consumer outcomes – and if you’re not planning on utilising RegTech to support this, then ask yourself why not?
Deliverability through tech
With the upcoming implementation deadline, firms are realising that embedding the Consumer Duty and monitoring its outcomes is no mean feat, and that resource investment alone isn’t going to provide the level of oversight required to monitor and evidence good consumer outcomes consistently. In its multi-firm review, the FCA did note some effective ways firms can go about this:
“We noted examples where firms have identified early, and in detail, any resource shortfalls for timely implementation – especially in areas like technology – and have a commitment and plan to address this. Some firms are investing sensibly in support and advice from external experts where this assists and adds value.”
This follows the ‘Zeroes to Heroes’ speech from FCA Chief Operating Officer and Executive Director Emily Sheppard, which detailed how fostering an innovative culture and embracing AI solutions could hold the key to efficiently and intelligently analysing the reems of data firms have at their disposal.
Utilising AI
And that’s where Recordsure’s ConversationReviewAI can help. This unique solution is founded on intelligent speech analytics to provide enhanced Quality Assurance (QA) in regulated industries. Our proprietary AI models are proven to increase the efficiency and effectiveness of QA teams, ensure consistent QA reviews and evidence QA outcomes while increasing QA oversight to 100%.
With a wealth of in-built MI, ConversationReviewAI can also form a fundamental part of your firm’s long-term data strategy – another thing the FCA has noted as good practice in its review.
Next steps
The FCA has been clear in its latest communication that it’ll be keeping a close eye on firms’ Duty implementation in the coming months – with planned surveys for a sample of firms to gauge the progress they’re making, along with targeted engagement with smaller firms.
With this in mind, if you haven’t yet considered how RegTech can help you monitor and evidence consumer outcomes, now’s the ideal time to adopt a best-in-class tech solution that will help propel your firm to Duty success.
You can now trial Recordsure’s ConversationReviewAI mortgage market model for free over 30 days. To learn more book an online meeting with Recordsure at a time that works for you.
