INDEPENDENT FINANCIAL ADVISERS

That this House is aware that independent financial advisers (IFAs) account for onlythree per cent. of complaints made to the Financial Services Authority (FSA) and of those less than 40 per cent. are upheld; notes that from the end of 2012 IFAs will no longer be able to trade on a commission basis but instead will have to offer fee-based advice only, a system which inevitably will cost investors more; understands that the FSAis now requiring all IFAs to sit new examinations before trading, therefore establishing themselves even further as constant regulators of the industry; and questions why such pressures are not apparent on the trading floors of banks and other financial institutions who are the most guilty of inflicting financial misery on the nation.