Important Information About the New Consumer Duty Rules
The Financial Conduct Authority’s Consumer Duty rules require that we must:
- By 30 April 2023 carry out a value assessment of our products and review that assessment on a regular basis appropriate to the nature and duration of the product; and
- From 31 July 2023 ensure that our products provide fair value to retail customers in the target markets for those products
We have developed a comprehensive and robust assessment process which evaluates several aspects of our business to determine the value of our products. This analysis is used to ascertain whether a product delivers fair value for customers. We have defined the detailed outcomes (across the four outcome areas) and we are now refining our internal monitoring so that we can more fully understand what we deliver to our customers in each outcome area. We will then use this monitoring, as part of an ongoing process, to identify where we can make improvements.
A Summary of our Assessments
We have assessed that:
- Our product range continues to meet the needs, characteristics, and objectives of customers in the identified target markets
- The intended distribution strategy remains appropriate for the target market
- Our products provide fair value to customers in the target market (i.e. the total benefits are proportionate to total costs)
Our assessments have considered the following:
- The range of features that the product provides, the quality of the product, the level of customer service that is provided and any other features that the product may offer
- The interest rates, fees and charges customers pay for the product, comparable market rates, advice fees paid to intermediaries and non-financial costs associated with operating the product
- The cost of funding the product and any other reductions in costs to the customer made possible by economies of scale
- Any limitations on the scope and service we provide or the features
- Any limitations on the scope, features and service we provide
Mansfield Building Society has worked with UK Finance, the Building Societies Association, the Association of Mortgage Intermediaries, and the Intermediary Mortgage Lenders Association to produce an Information Sheet to provide you with the results of our fair value assessments, incorporating the information detailed above.
The assessments can be accessed at mansfieldbs.co.uk/intermediaries/consumer-duty/broker-information-sheets.
The effective date of these assessments is 30th April 2023.
This information is intended for intermediary use only and should not be provided to customers.
Our Expectations of Distributors
In order to fulfil our obligations under the Consumer Duty we expect distributors on request to share information with us to enable us to review our Products & Services and Price & Value Assessments. We also expect Distributors to tell us about any evidence of actual (or foreseeable) consumer harm within this target market or any evidence that our product or distributor conduct are materially different to the intended outcome(s).
You are ultimately responsible for meeting your obligations under Consumer Duty, but we want to work with you to deliver fair value and good outcomes for consumers.
Please contact our Intermediary Sales Team if you have any queries or require additional information from us.