The FSA is to re-consult on the client money rules.
FSA director of high street firms Sarah Wilson said that a consultation paper would be published in late July.
A final decision on whether to change the rules would be made in early 2005. There would not be mandatory risk transfer, she added.
Wilson said that the industry had made a “strong case” for re-consultation on the grounds of cost.
But she emphasised that the industry still needed to address the clarity of its documentation and whether brokers were holding insurer money.
“Many brokers are finding it difficult to clarify their agency agreements with insurers. Insurers must move fast and put the market in a clear position,” she said.
