From December 31, advisors in the United Kingdom will have to be much clearer about the type of advice they give, whether it is independent or restricted, and what fees they will charge for it.
Currntly, there are three types of financial advisors in the UK: A "tied" adviser can only recommend products from one company, such as a bank. A "multi-tied adviser" can recommend products from a limited number of companies. And an "independent financial adviser," known as an IFA, can make recommendations having researched the whole market. However, in January, there will be three key changes taking place. Financial advisers will no longer be able to receive commission on the products they recommend to clients. A4A will be tracking the transition in the U.K and this story is a good primer.