Signage is seen for the FCA (Financial Conduct Authority), the UK's financial regulatory body, at their head offices in London, Britain March 10, 2022.
REUTERS/Toby Melville/File Photo Acquire Licensing RightsLONDON, Nov 29 (Reuters) - Investment advisers in Britain should hold extra capital to cover compensation costs, regulators proposed on Wednesday, in a bid to put a lid on the rising bill for bad advice.
It is important that the polluter pays," Sarah Pritchard, the FCA's executive director of markets and international, said in a statement.
Advisers already have to set aside a minimum of 20,000 pounds in capital to operate.
PIMFA, a trade body for financial advisers, said it welcomed a "polluter pays" model, but urged a proportionate approach to avoid barring new entrants.
Persons:
Toby Melville, Sarah Pritchard, Yadarisa, Dhanya Ann Thoppil, Christina Fincher
Organizations:
FCA, Financial, Authority, REUTERS, Investment, steelworkers, Thomson
Locations:
London, Britain, Bengaluru