Analysing the reform of the retail financial advice sector in the United Kingdom from an agencement and performativity perspective

Abstract

The Retail Distribution Review of the regulation of financial advice resulted in a series of reforms to the UK retail advice sector in 2012. This is the latest in a series of initiatives addressing what are identified as market failures in the UK’s retail advice sector. This article uses the notions of performativity and agencement to elaborate and explain the processes by which reforms based on the economic theory of market efficiency have failed to address adequately consumer financial advice issues in the UK. The result has been a range of unresolved and unexpected problems. It is argued that the lack of success of a series of regulatory reforms intended to improve access to advice for UK consumers is destined to continue as long as the notion of market failure dominates regulatory reform.