Price discrimination and cross-subsidy in financial services

clock • 3 min read

FCA report shows how reducing one form has produced another, says Richard Walsh

At the end of September the FCA published Occasional Paper 22 on price discrimination and cross-subsidy in financial services. It is a good analysis of the subject and worth a read, particularly in the context of Brexit where some EU-driven restrictions may be abolished or replaced with UK-specific ones. Price discrimination happens when a firm charges different prices to different consumers for the same product, or where all consumers are charged the same price but costs differ between consumers - so different consumers face different mark-ups. Currently, there are four key ways ...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

Reeves takes aim at regulation during growth speech

Reeves takes aim at regulation during growth speech

Regulation stifling growth

Cameron Roberts
clock 29 January 2025 • 2 min read
Reeves to host meetings with financial services heavyweights over growth plans

Reeves to host meetings with financial services heavyweights over growth plans

Includes insurance and reinsurance leaders

Sorin Dojan
clock 21 January 2025 • 1 min read
FCA proposes that firms accept electronic verification of death

FCA proposes that firms accept electronic verification of death

Method to speed up bereavement claims

Cristian Angeloni
clock 20 January 2025 • 2 min read