FCA plans rule changes to simplify consumer disclosures

The UK's Financial Conduct Authority (FCA) is considering changes to mortgage and lending disclosure rules to enhance clarity for consumers and ease regulatory burdens on financial firms. As part of its upcoming five-year strategy, the FCA aims to simplify communications about savings accounts and review credit advertising, including lengthy terms and conditions. The regulator plans to retire outdated guidance to give firms more flexibility in tailoring information to meet customer needs, particularly in digital contexts. Sarah Pritchard, FCA's Executive Director, emphasized the importance of these changes in supporting growth and improving consumer outcomes under the Consumer Duty framework. These proposals come amid government efforts to stimulate the economy, which is expected to slow down significantly in 2025. The FCA's initiatives reflect a commitment to balancing regulatory efficiency with consumer protection.