Capability - Consumer Duty and Outcomes Monitoring (NEW)

Our Consumer Duty Services

We offer a comprehensive range of Consumer Duty support, tailored to your firm's size, sector and maturity:

Consumer Duty Health Checks

Independent, third-party assessment of your Consumer Duty implementation. We review your policies, processes, MI and governance against FCA expectations - identifying gaps, risks and areas for improvement. Our health checks include:

Gap analysis against PRIN 2A requirements
Review of outcomes monitoring framework and MI
Assessment of fair value methodology and documentation
Evaluation of vulnerable customer identification and support
Board and governance effectiveness review
Comprehensive report with prioritised recommendations

Outcomes Monitoring Design & Implementation

Effective outcomes monitoring is the cornerstone of Consumer Duty compliance. We help firms design and implement monitoring frameworks that:

Identify the right metrics across the customer journey
Capture data efficiently from existing systems
Establish meaningful thresholds and triggers
Enable proactive identification of poor outcomes
Support board-level reporting and challenge

Fair Value Assessments

Price and value is a key FCA focus area. We support firms to:

Define and document target markets with appropriate granularity
Assess total cost to customer, including distribution chain impacts
Analyse cross-subsidies and differential pricing
Benchmark against market comparators
Document and justify fair value conclusions

Board Reporting & Annual Assessment

The FCA expects boards to actively oversee Consumer Duty compliance. We help firms:

Design board MI packs that enable meaningful challenge
Prepare for and facilitate annual board assessments
Draft Consumer Duty annual reports
Train board members and senior management on their responsibilities

Consumer Duty Training

Embedding the Duty requires understanding at all levels. We deliver tailored training for:

Board members and senior management
First line teams (sales, service, operations)
Second line compliance and risk functions
Third line internal audit

Why Square 4

Award-Winning Expertise

Square 4 was named Compliance Consultancy Firm of the Year 2024 by the International Compliance Association - recognised for delivering an award-winning Outcomes Testing Framework.

Former FCA Expertise

Our team includes former FCA supervisors and senior industry practitioners who understand how the regulator thinks, what good looks like, and how to evidence it.

Practical, Commercial Focus

We build solutions that work within your operating model, technology landscape and resource constraints - solutions your teams can actually use.

Relationship-Driven Approach

We build long-term partnerships with our clients. Many engage us for initial health checks and stay for ongoing retained support.

Frequently Asked Questions

What is the FCA Consumer Duty?

The Consumer Duty is a regulatory framework introduced by the FCA in July 2023, requiring firms to deliver good outcomes for retail customers. It comprises a Consumer Principle (PRIN 12), cross-cutting rules, and four outcomes covering products/services, price/value, consumer understanding, and consumer support.

Who does Consumer Duty apply to?

Consumer Duty applies to all firms in the distribution chain that can influence retail customer outcomes – not just those with direct customer relationships. This includes product manufacturers, distributors, intermediaries and platforms.

What is a Consumer Duty health check?

A Consumer Duty health check is an independent assessment of your firm’s compliance with the Duty. It typically includes review of policies, processes, outcomes monitoring, fair value assessments, and governance arrangements.

How often should we conduct Consumer Duty reviews?

The FCA expects ongoing monitoring and at least annual board-level assessment. Many firms conduct quarterly health checks on specific areas and comprehensive annual reviews.

How can Square 4 help with Consumer Duty compliance?

We offer comprehensive support including health checks, outcomes monitoring design, fair value assessments, board reporting, training and implementation support. Our services are tailored to your firm’s sector, size and specific needs.