The third reading of the Home Reversion Bill took place recently in the Houses of Parliament, and will receive Royal Assent soon afterwards. This has completed the primary legislation stage to bring home reversions under the regulatory control of the Financial Services Authority.
Secondary legislation is needed to amend the Regulated Activities Order.
The Third stage will be when the Financial Services Authority consults on, and draws up rules regarding the sale of home reversion plans. Under the final stage, firms will be able to apply for permission from the Financial Services Authority to sell home reversion plans.
Our view
Regulation on ALL financial products is a good thing.