FCA: Embedding TCF in the culture of a firm
FCA: Embedding TCF in the culture of a firm

The following Financial Services guidance note provides comprehensive and up to date legal information covering:

  • FCA: Embedding TCF in the culture of a firm
  • Responsibility for TCF
  • TCF culture
  • MI and TCF
  • Responsibilities of providers and distributors
  • FCA guidance, reviews and reports

Treating Customers Fairly (TCF) is a principles-based initiative. Under the regulatory regime authorised firms must pay due regard to the interests of their customers and treat them fairly (Principle 6—see PRIN) although firms are generally only required to apply the Principles in a way that is proportionate for that firm, the customers and products in question.

The Financial Conduct Authority's (FCA) Fair treatment of customers pages set out additional information on the FCA's approach to this area. Information created by the FCA's predecessor, the Financial Services Authority (FSA) remains relevant—eg the July 2006 publication, Treating customers fairly – towards fair outcomes for consumers, which sets out the six outcomes the regulator is expecting firms to deliver and the 2007 TCF—guide to management information. Introductory information relating to the Treating Customers Regime is in the Practice Note: FCA: Treating Customers Fairly—essentials.

While this initiative started under the FSA and well before 2007, the FCA is clear that TCF is still very relevant. Firms face pressure on profits and revenues and many individuals face their own financial pressures; these conditions create a greater potential for the wrong outcomes for customers to emerge from the way firms do business.

Responsibility for TCF

All firms must be able to demonstrate that they are consistently delivering TCF to consumers. It is a key responsibility of senior