Introducing CIP

The new CIP is now rolling out – but what does it mean for the industry?

Ahead of the official launch at the annual CSA/DBSG conference in September, we spoke to the key players in its development and they gave us their views on what it means for the future – and how it will impact on businesses, customers and government…

Leigh Berkley, Chair, DBSG
What started out last year with discussions of a Sellers Audit and then a Buyers Compliance Audit, has now come to fruition as the new DBSG Continuous Improvement Programme, complete with the first comprehensive Standard for our industry, and I'm delighted to be introducing this DBSG initiative to you.

I believe high standards already exist across our industry, but whilst we are subject to numerous regulation, legislation and guidance, there has been no objective benchmark by which our members can measure themselves in terms of compliance, until now.

I'm delighted that PwC are involved in this project, and would like to thank them for all the hard work, time and commitment they have devoted to CIP from day one. I would also like to recognise the efforts of Zach Lewy, Sara de Tute and all at CSA/DBSG Head Office for their input of industry knowledge and the preparation of the standard, without which we would not be going live with this groundbreaking initiative.

It is our firm intention to widen the reach of CIP in the near future so that all CSA members can benefit from the programme, and I believe CIP will become an important part of our self-regulation for the future, inspiring confidence among participants, government and the consumer alike.

Zach Lewy, Vice Chair, DBSG
The original idea was to find the most appropriate measure for our unique part of the finance industry. However nothing we looked at ticked all the boxes and the original concept of a bespoke audit seemed appropriate, however we knew we'd struck gold when we shifted the emphasis away from a black and white audit at a point in time, to a programme of continuous improvement.

Spreading the cost between the members relative to their ability to pay is the traditional way trade associations' initiatives are funded and is wholly appropriate to this programme also, as we attempt to prove high standards exist throughout the membership and in turn protect all our reputations.

Sara de Tute, Vice President, CSA
Development of the Standard against which members of the DBSG can now be measured has been the critical deliverable for this project. It's fine to have laws and regulations, even an effective Code of Practice, but this is not something you can measure maturity of systems and policies against. We have, therefore, worked hard to develop the first Standard, which embraces everything that our members would expect to be measured against by their clients and regulators alike.

The standard measures the member's processes, systems and policies in terms of maturity and importantly the member has to show how it monitors and measures this itself. These, together with a bespoke framework for improvement where required, demonstrates a clear commitment to continuous improvement.

Claire Aynsley, Head of Compliance, CSA DBSG Head Office
Ensuring the membership upload the data required by the PwC Portal honestly and fairly is key to the success of this initiative. It's not so crucial where each member scores today, as this is, after all, a continuous improvement programme. What is critical is that Members use the portal to its full potential, view all of their compliance processes in one place, monitor their effectiveness, and make improvements when needed. The DBSG Head Office will of course be on hand to help in the improvement process, but it's vital that Members use the Compliance Portal to build on their standards.

David Fisher, Director of Consumer Credit, OFT
The OFT always welcomes initiatives aimed at driving up standards of compliance and is pleased to see the CSA and DBSG take the lead here. Whilst we understand this Continuous Improvement Programme is not compulsory, we hope many members will take up the challenge to prove that their operation meets the standards set.