The IPR City and Financial Group is fighting the present draft of
the Financial Services and Markets Bill, which it claims will prevent
financial PR practitioners from promoting their clients.
Clause 19 of the Bill, which is currently being debated by a standing
committee, states: ’A person must not communicate or cause to be
communicated an invitation to engage in investment activity or
information which is intended or might reasonably be intended to lead
directly or indirectly to engagement in such activity.’
Neil Mainland, chairman of the IPR City and Financial Group, said:
’There is a clear difference between the promotion of information about
clients and their products and the recommendation to buy their products.
If we lost that distinction, it would prove a serious threat to the
The Treasury has denied that PR will be affected by the bill, claiming
the legislation is aimed at clients, not agencies.
Mainland plans to approach the Treasury to ensure the restrictions are
not passed by default. The bill, which outlines the new Financial
Services Authority’s powers, is not expected to be passed until the
The IPR City and Financial Group’s present standing on this issue
mirrors its comments at the end of last year (PR Week, 13 November) that
financial PR agencies should implement self-regulation.