On 23 July 2020, the FCA issued a portfolio letter to debt advice firms.

Boards of debt advice firms are asked to consider the letter’s contents and carry out any necessary changes to their business model. In the letter, the FCA:

• Sets out its view of the key risks debt advice firms (including not-for-profit bodies) pose to their customers or the markets in which they operate.
• Outlines its expectations of debt advice firms, including how such firms should be mitigating these key risks.
• Describes its supervisory strategy and programme of work to ensure that firms are meeting its expectations, and harms are being remedied