Money Box 27 June 2009

The financial advice sector is facing a huge shake-up with the publication of proposals on how to reform the way we are sold financial products.

The suggestions, drawn up by the industry's regulator, the Financial Services Association (FSA), distinguish between those advisers or businesses which provide truly "independent" advice and those that provide "restricted" advice - selling products linked to a bank or particular firm.

The FSA is also proposing an end to all commission based selling, replacing this with fees for advice.

We get reactions to the proposals from Denis Armitt, an independent financial adviser from Stockport, and Jon Pain, the FSA's managing director of Retail Markets.