The Financial Conduct Authority (FCA) on Wednesday launched a consultation on simplifying how platforms, advisers and wealth managers disclose the costs of investing, with responses due by 21 August 2026.
Under the proposals, distributors would need to set out their own charges alongside product costs in the Consumer Composite Investments format and keep regular track of the total cost of investing. The consultation also covers disclosures when firms charge fees or pay interest on client cash.
The FCA said its review of 132 pre-sale disclosure documents found that only 6% were written in plain English, and that every one was more complex than GCSE reading level. Separately, 30% of non-advised platform users said they did not know the amount they were charged for investing.
“We want more consumers to feel confident investing by getting clearer information in plain English on products and charges,” said Lucy Castledine, FCA director of consumer investments.
The CCI rules, finalised last year, replace the older PRIIPs and UCITS disclosure requirements with a domestic regime that uses summary costs over a 12-month period instead of reduction-in-yield tables.
Firms have less than a year to rework pre-sale disclosure journeys before the CCI regime and plain-English requirement take effect in June 2027.
