Nearly a third of advisory firms have lost clients as a result of the Retail Distribution Review (RDR), according to research from GfK.
A survey of 430 advisers by market researchers GfK found that 30% of firms have already lost clients as a consequence of RDR requirements.
The research, conducted in June, also found that 57% of firms have existing clients who will be unwilling to pay for advice while 45% have clients who will be unable to.
"The majority of adviser firms will lose some clients who are either unwilling or unable to pay for advice. On average, this will represent 14% of their client base," according to GfK.
Nearly 40% of firms said they would be willing to try and combat this with the introduction of free consultations for clients who are unable to pay for advice.
A further 10% said they would refer these clients internally to an adviser, 8% would refer them externally to an adviser and 13% would refer them to a direct-to-consumer proposition.
A quarter of advisers said they had no plans in place to deal with clients who no longer qualified for financial advice.
The majority - 65% - said they strongly disagreed with the notion that the introduction of the RDR would result in more people receiving financial advice.
Just 1% said they strongly agreed - the same proportion of advisers who said they did not know what the outcome would be.
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