Three-quarters doubt move to fees will succeed

clock

Only a quarter of firms forecast a shift to fee-only remuneration will benefit consumers, a wide-ranging study suggests.

Just 26% of more than 4,000 businesses surveyed by the Financial Services Practitioner Panel believe the move away from commission and toward fees will be attractive to clients not used to paying advisers upfront for their services. Most firms expressed a "generally held view" the move would disenfranchise the less wealthy from advice. "I cannot quite see how people who are not used to paying upfront for advice - they will have paid through a commission which perhaps looks invisible - will react to us giving them a bill for say £250," said one adviser quoted in the report. Furtherm...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FOS fees could fall if cases resolved early

FOS fees could fall if cases resolved early

Consultation seeking to modernise charges

Jenna Brown
clock 13 August 2025 • 2 min read
Consumer Duty two years on: Challenges remain for advisers

Consumer Duty two years on: Challenges remain for advisers

‘Biggest challenge for advisers at the moment'

Sahar Nazir
clock 31 July 2025 • 4 min read
FCA and FOS reveal reforms as part of redress 'modernisation'

FCA and FOS reveal reforms as part of redress 'modernisation'

Follows joint call for input and government proposals

Isabel Baxter
clock 15 July 2025 • 3 min read