Almost 8,000 firms have been deauthorised by the Financial Conduct Authority (FCA) in the last eight months, according to new research, with many smaller firms consolidating into larger entities.
Data from ISS Market Intelligence (ISS MI) reveals that 7,860 firms were removed from the FCA Register between January and August 2025, leading to a 2.8 per cent decline in the total number of financial services firms to 70,131. The number of registered individuals also fell, by 1.4 per cent to 220,679.
The ISS MI Landscape Report, powered by newly-acquired data solutions business Autus, shows that while credit brokers made up the majority of those deauthorised, 521 investment advice firms and 285 mortgage advice firms also departed the register.
The research suggests this trend points towards smaller firms merging into larger organisations to achieve economies of scale, especially as the number of individuals on the register has remained relatively stable.
Despite the high number of departures, 4,402 firms joined the register in the same period, leading to a net loss of 3,458 firms. This includes 442 new investment advice firms and 409 new mortgage advice firms.
Benjamin Reed-Hurwitz, head of research development, EMEA & North America at ISS Market Intelligence, says: “The financial services industry is continually evolving and adapting. While keeping pace with developments across various areas of the market presents a significant challenge, it remains a key priority for sales and marketing teams aiming to succeed in the industry. Many organisations lose out on potential opportunities – such as new firms setting up shop – simply because they do not know these opportunities exist.”
The report also sheds light on the largest investment and mortgage advice firms, showing a mixed picture of growth and contraction. St. James’s Place led the adviser headcount table, adding 43 advisers in the last eight months, while Openwork saw a slight reduction.
Editor’s View: Is consolidation in the interests of clients?
Quilter Financial Services Limited experienced a significant boost, adding 837 advisers, while True Potential saw a small decrease.
| Rank | Firm Name | Number of Advisers | Change since Dec 2024 |
| 1 | St. James’s Place Wealth Management Plc | 5217 | 43 |
| 2 | Openwork Limited | 2854 | -5 |
| 3 | Quilter Financial Services Limited | 2078 | 837 |
| 4 | True Potential Wealth Management LLP | 1082 | -1 |
| 5 | 2 Plan Wealth Management Limited | 686 | 8 |
| 6 | Evelyn Partners Financial Planning Limited | 405 | -9 |
| 7 | Best Practice IFA Group Limited | 404 | 20 |
| 8 | Fairstone Financial Management Limited | 393 | 8 |
| 9 | The On-Line Partnership Limited | 367 | -15 |
| 10 | HW Financial Services Limited | 363 | 0 |
| 11 | M&G Wealth Advice Limited | 358 | 10 |
| 12 | New Leaf Distribution Limited | 346 | 39 |
| 13 | Sense Network Limited | 334 | 15 |
| 14 | Scottish Widows Schroder Personal Wealth Limited | 330 | -15 |
| 15 | Quilter Financial Advisers Ltd | 314 | 85 |
| 16 | Evelyn Partners Investment Management Services Limited | 285 | 8 |
| 17 | Schroder Investment Management Limited | 278 | -1 |
| 18 | ValidPath Limited | 265 | 65 |
| 19 | Mercer Limited | 257 | -13 |
| 20 | Quilter Cheviot Limited | 245 | 66 |
| 21 | Evelyn Partners Discretionary Investment Management Limited | 243 | 42 |
| 22 | Wesleyan Financial Services Ltd | 241 | -3 |
| 23 | Chase de Vere Independent Financial Advisers limited | 226 | -6 |
| 24 | Evelyn Partners Securities | 223 | 11 |
| 25 | Raymond James Wealth Management Limited | 220 | -1 |
| 26 | Evelyn Partners Investment Management LLP | 215 | 23 |
| 27 | Tilney Discretionary Portfolio Management Limited | 214 | 12 |
| 28 | Succession Financial Management Limited | 209 | 6 |
| 29 | AFH Independent Financial Services Limited | 203 | 4 |
| 30 | Quilter Financial Planning Solutions Limited | 201 | -18 |
The report also notes a continued preference for independent advice over restricted, with the number of restricted firms dropping by over 25 per cent between 2016 and 2023. However, it cautions that this figure can be misleading as large restricted firms with many advisers still only count as a single firm.
Reed-Hurwitz concludes: “With over 70,000 firms on the FCA Register, understanding what each company does, as well as their size and scale, is vital for organisations wanting to ensure their sales and marketing activities reach their target market. Through the Landscape Report, our aim is to help firms cut through all that complexity and glean information that will ensure their teams are talking to the right people, at the right time, about the right products.”
