IFP and CII awarded accredited body status

The Institute of Financial Planning (IFP) and the Chartered Insurance Institute (CII) have been named among six organisations that will operate as accredited bodies under the FSA's new training and competence regime.

In a quarterly consultation paper today, the regulator says it also intends to confer accredited status on the the CFA Society of the UK, the Chartered Institute for Securities and Investment, the Chartered Institute of Bankers in Scotland and the Institute of Financial Services.

Accredited bodies will form a key part of the regulator's new training and competence regime and will be responsible for issuing Statements of Professional Standing (SPS).

The regulator adds it is "very unlikely" any of the accredited bodies are 100% ready now to perform their role in terms of having the necessary systems and controls in place as the criteria is based on what it expects them to have from 31 December, 2012.

It said it may require applicants to carry out additional remedial work which they will have to confirm has been completed "well in advance" of the Retail Distribution Review (RDR) deadline.

"We have also told each applicant that we expect their next annual audit report to demonstrate how they have made the intended progress in developing their capabilities and/or their systems and controls, where these are not already in place," said the paper. 

"We have encouraged each accredited body to publish their annual audit report although we have not made this a requirement."

The regulator added it expects further applications from potential bodies and will consult on this in due course.

Meanwhile, the FSA also published a list of required qualifications it proposes to add to its draft handbook text.