Smaller brokers are continuing the battle against the FSA over commission disclosure
Some issues just aren’t worth fighting for, but for small brokers the commission disclosure argument will never die.
The threat to brokers at the smaller end of the market is becoming increasingly clear, and those brokers are now prepared to fight tooth and nail to make sure the FSA gets it right.
Talk is cheap, but action speaks volumes and Brokerbility’s campaign against the mandating of hard commission disclosure is unique in that brokers are stepping up to the plate and are ready to make their feelings heard at all costs.
The group is representing the values of all small and medium-sized brokers who are not in favour of commission disclosure being forced upon them, and they are pulling out all the stops.
Having brought on board a consultancy company that specialises in public and parliamentary affairs to act as lobbyists, the group has a firm plan that will see the issue raised in many areas of government.
They have already lobbied several MPs, including members of the treasury select committee, who have responded with sympathy for the smaller brokers.
Stuart Randall, director of Brokerbility, said: “The IIB and Biba are working hard on this too but they need all the help they can get.”
“The cost benefit analysis has been done and those in favour of hard disclosure have lost the argument, so why is this not now dead in the water?"
Brokerbility has pointed out that many brokers misunderstand the FSA. Randall added: “Going into this we thought they didn’t understand our industry. We were wrong: they understand us very well, but we need to engage with them at all levels to protect our position.”
Steve Grantham, managing director of broker Cooke and Mason, is acting as Brokerbility Campaign Manager. He feels that the FSA are convinced hard disclosure could have a detrimental impact on the UK market.
“I believe we need to help the FSA convince the EU that no further action is necessary”, he said.
The group is now rallying more brokers to join the fight, sending a clear message to the FSA that small brokers have got a voice.
