Likely to be of interest to Irish-authorised life assurers, the FSA has issued a consultation paper on with-profits rules. It proposes to prohibit compensation and redress payments out of any part of insurers' with-profits fund due to operational failures (including mis-selling). The FSA's view is that such payments should not be charged to or made from with-profits funds, in the interest of fair treatment of policyholders. It considers that shareholders alone should be liable for the costs of future compensation and redress payments. It is expected that this rule will apply to all such payments resulting from events occurring after the date on which the rule is brought in (expected to be 31 July 2009).