Anisha Kalam breaks down the FCA’s consultation on Targeted Support, highlighting the key Handbook updates, compliance considerations, and next steps for firms preparing to integrate this new framework.
The FCA has published Consultation Paper CP25/26, setting out the consequential changes to the FCA Handbook required to implement its proposed framework for Targeted Support which was first introduced in CP25/17.
CP25/26 has been introduced to focus on the detailed changes needed across the FCA Handbook to operationalise this framework. The goal is to enable firms to offer tailored, non-personalised support to groups of consumers with shared characteristics. This latest paper outlines the technical amendments needed to embed Targeted Support into existing regulatory structures, enabling firms to offer structured, non-personalised guidance to groups of consumers with shared characteristics.
The consultation is open until 17 October 2025, with final rules expected in December 2025. The authorisations gateway for firms seeking permission to provide Targeted Support is scheduled to open in March 2026.
The FCA has identified the advice gap as a key source of consumer harm. Millions of people are unable to access financial advice, often due to cost, eligibility, or lack of awareness. This means leaving them without support on pensions, investments, and financial planning.
Targeted Support aims to bridge this gap. It will not be a personal recommendation, but will go beyond generic guidance. It will allow firms to deliver structured interventions that help consumers make better informed decisions, while still operating within regulatory boundaries.
The proposals in CP25/26 have cross-sector implications. The FCA highlights the following groups as being particularly impacted:
This broad scope reflects the FCA’s intention for Targeted Support to extend beyond traditional advice models.
To support the rollout of Targeted Support, the FCA is proposing a series of detailed updates across multiple sections of the Handbook. These amendments are designed to ensure the new framework is fully integrated into existing regulatory structures.
CP25/26 is more than a technical update, it introduces a new regulated activity that firms must integrate across governance, compliance, and client processes.
Key actions for firms:
Firms intending to offer Targeted Support should begin preparations now, ahead of March 2026.
At Thistle Initiatives, we specialise in helping firms navigate complex regulatory change. With CP25/26, the challenge lies in implementation and integration, embedding Targeted Support into governance, reporting, and consumer-facing processes without introducing regulatory risk.
Whether you're assessing your readiness or preparing for authorisation, our team is here to support you every step of the way. If you’d like to speak to one of our regulatory specialists about how these changes may affect your business, please get in touch.
Anisha is a compliance specialist with over six years of experience in financial services, specialising in FCA regulations and OFSI sanctions. She has successfully implemented global compliance programs, introduced cost-saving monitoring systems, and ensured adherence to regulatory requirements.
Anisha's expertise spans sanctions analysis, regulatory risk mitigation, policy drafting, and compliance audits. With a proven track record in reducing compliance risks and managing high-stakes regulatory projects, she brings technical precision and leadership to every role.