Royal London has received regulatory approval to provide Targeted Support, becoming one of the first firms to secure permission to launch the new form of regulated financial help.

The mutual said it had been involved in the development of Targeted Support through industry working groups, engagement with the government and the Financial Conduct Authority’s policy sprint.

Royal London said the new regime is intended to sit alongside, rather than replace, fully individualised financial advice, offering consumers an additional level of help based on their needs.

The provider said its modelling suggests 21.5 million people in the UK could benefit from Targeted Support, underlining what it sees as a substantial gap in access to financial help.

Ben Hampton, chief executive of advice at Royal London, said: “From the start, we’ve worked closely with the FCA to help design a framework that allows innovation to flourish while maintaining strong consumer protections, empowering millions of people to take better financial decisions.

“Our investment in technology and digital capability means we will deliver Targeted Support in a way that is scalable, responsive and rooted in good customer outcomes.

“The regime creates a sliding scale of help, allowing people to access different levels of support depending on their needs, and at moments that really matter.”

Hampton said Targeted Support could help consumers make better decisions in the short term, while also encouraging greater confidence and engagement with their finances over time.

He added: “Being customer-owned means Royal London prioritises long-term financial sustainability over short-term shareholder returns – and can take a fundamentally different approach.

“Purely driven by the best interests of our customers, we’re ideally positioned to deliver meaningful, accessible, and impactful Targeted Support in a responsible and effective way – at scale.”