Solicitor firms had the same debate that investors themselves will have after 1 January next year with the introduction of RDR as the SRA felt there was a risk that only allowing solicitors to refer to those advisers deemed "independent" might be contrary to its aim of ensuring that best outcomes for clients are achieved.
The vote was taken yesterday and the relevant changes to the SRA Code of Conduct in this respect were passed.
Agnieszka Scott, SRA’s director of policy, said: "This represents the best fit with outcomes-focused regulation as solicitors, as highly qualified professionals, would be free to assess and discuss clients’ needs, not be restricted by a prescriptive rule."
Apcims welcomed this freedom of choice, with its chief executive Tim May adding: “Given consumers equate independence with a lack of bias and not the new definition related to exhaustive product knowledge which excludes equities and bonds, this shows that common sense can still prevail in important matters of finance”.
