​Growth remains firmly on the agenda across the wealth and advice market, but firms ability to convert ambition into sustainable revenue is increasingly being determined by capacity.

This month’s acquisitions and senior appointments show continued investment in regional reach, and client-facing experience. Yet expansion is creating pressure behind the scenes. More advisers, more clients and more complex planning conversations all increase the need for experienced paraplanning, technical support and effective operating infrastructure.

That tension is becoming one of the market’s defining issues. Technology and AI can improve workflow and increase theoretical capacity, but they cannot compensate for shortages in technical judgement or poorly designed advice processes.

In this month’s update, we examine what current M&A activity and leadership appointments reveal about growth priorities, and why paraplanning capacity is becoming a commercial issue rather than simply a recruitment challenge.

IDEX insight: what this month’s market activity means

The ongoing paraplanner shortage is becoming a serious growth constraint.

Advice firms continue to compete for experienced, client-facing advisers, but adviser growth cannot be viewed in isolation. Every additional adviser increases demand for research, suitability reports, compliance checks, case preparation and workflow management.

Without sufficient paraplanning capacity, firms risk creating a bottleneck behind the advice process. Advisers may spend more time on technical and administrative work, cases can take longer to progress, and pressure increases across existing teams.

Technology, AI and outsourced support can improve efficiency and reduce administrative burden, but they do not replace technical judgement, effective oversight or experienced professionals who understand the advice process.

For firms with growth ambitions, paraplanning is therefore not simply a back-office recruitment issue. It is a commercial decision that directly affects adviser productivity, client service and the capacity to generate sustainable revenue.

Read more in IDEX’s latest insight: How the Paraplanner Shortage is Slowing Advice Firm Growth[JM1.1]

• Revenue depends on technical capacity: The average number of clients served per adviser has risen to 134. However, firms can only convert greater adviser capacity into productive client time and revenue when the right paraplanning infrastructure is in place.

• Under-resourcing creates operational risk: Pressure on existing paraplanners can lead to slower turnaround times, increased workloads and greater risk to advice quality, client service and employee retention.

• Firms need a clear workforce strategy: Businesses should decide whether to build internal paraplanning capability, recruit experienced external talent or use outsourced support. The right approach will depend on growth plans, case complexity and the level of technical control the firm needs to retain.

Question for leaders: If adviser capacity increased by 20% over the next year, could your current paraplanning and technical infrastructure support it without affecting turnaround times or advice quality?

Financial Services market news

This month’s Financial Services news reflects a focus on market transparency and future planning as firms prepare for changing reporting requirements and possible Budget-driven client questions.

• SJP reaches record assets as net inflows slow: St. James’s Place reported record funds under management of £240.8 billion for the first half of 2026. Its adviser population increased to 4,951 and its client base reached 1.064 million, but net inflows fell from £3.8 billion to £2.7 billion. Advisers are handling more cases, although average case sizes have reduced as clients navigate continued economic and tax uncertainty.

IDEX view: As case volumes rise and average values come under pressure, productivity becomes increasingly important. Firms need the right technical support, systems and operating infrastructure to help advisers serve more clients without reducing service quality or placing unsustainable pressure on their teams.

• Schroders’ wealth arm attracts £2.5 billion as the group sharpens its focus: Schroders’ increase in net new business in the first half of 2026, helped group assets under management reach a record £867.8 billion. This is in contrast with outflows elsewhere in the group and comes as Schroders sells its Benchmark financial-planning business to focus its wealth proposition in the UK and internationally.

IDEX view: Schroders’ decision to narrow its focus shows the value of relationship-led wealth management and suggests that firms are prioritising areas where they can build a distinctive and scalable proposition. Delivering that strategy will depend on attracting experienced professionals who can manage complex client relationships and support growth in the high- and ultra-high-net-worth market.

• Rising pension tax figures increase the need for specialist advice: More than 30,000 individuals reported pension contributions above their personalised annual allowance in 2024/25, with excess contributions rising by a third to £672 million. Income Tax paid on registered private-pension payments also rose from £25.6 billion to £30.1 billion. Together, the figures highlight the complexity clients face when contributing to and withdrawing from pensions.

IDEX view: : Pension tax risk now exists at both ends of the planning process. High earners can face unexpected charges when contribution limits taper, while retirees risk paying more tax when withdrawals are not structured effectively. Firms need sufficient adviser and paraplanning capacity to model different scenarios and provide joined-up planning throughout a client’s accumulation and retirement journey.

Mergers and acquisitions

M&A activity this month shows consolidation continuing at pace, with buyers pursuing regional expansion and digital capability across wealth, advice and pensions.

• South Wales deals expand Clifton’s regional footprint: Clifton Wealth Partnership has added Banyard Independent Advice Services and Wilcox Financial Planning, as it continues to grow its regional presence. Adding approx. £68 million of AUM and over 300 additional clients the deals illustrate the persistent appetite for established local advice books and increase the importance of adviser capacity and technical support across the enlarged business.

• North East advice hub strengthened by Foster Denovo deal: Completing its first deal of 2026, Foster Denovo acquires North Shields-based Shaun Carr Financial Services and adds £53m in assets under advice across 157 client households, as it continues to build regional scale around its Tyneside wealth management hub.

• Retirement technology is strategic acquisition target: Whistle’s acquisition of Pension Potential shows technology capability is key to competitive differentiation in retirement advice, raising demand for cross-capability in product, advice, operations and digital delivery.

IDEX view: Clifton’s sixth and seventh deals of 2026 show that IFA consolidation remains firmly on the agenda, following on from recent transactions involving Tatton-backed consolidators, Perspective, Fairstone and Finli. Foster Denovo’s acquisition reinforces the pattern, with acquirers using regional hubs and adviser succession opportunities to add assets, clients and local market presence.

People moves and senior appointments

Senior appointments this month show wealth firms investing in board-level growth experience, regional leadership and client-facing advice capacity as competition for talent continues to shape expansion plans.

• Scale-up experience added to TEAM’s board: TEAM plc has appointed Lumin Wealth founder John Cusins as an independent non-executive director. The appointment suggests TEAM is prioritising practical scale-up and transaction experience as it enters its next stage of development.

• Canaccord expands planning capability across key offices: Canaccord Wealth has strengthened its London and Birmingham teams with four experienced wealth planners, including three Chartered Financial Planners. These hires indicate that growth remains dependent on securing established client-facing talent.

• Midlands growth remains priority for BRI: BRI Wealth Management has appointed former Rathbones Group CEO Paul Stockton as a non-executive director. The appointment indicates that BRI is investing in front-line advice capacity and in the governance and strategic experience required to manage regional expansion.

Monthly Financial Services Market Updates, Backed by Hiring Expertise

Stay close to the Financial Services market with monthly updates covering wealth management news, financial planning trends, M&A activity, senior appointments, regulation, technology and IDEX insight.

Subscribe to the monthly newsletter to understand not just what has happened, but what it could mean for growth, hiring, succession and market positioning.

The IDEX Salary Calculator gives Financial Services professionals access to market-specific compensation insight, helping them benchmark pay and make informed career decisions.

Check your salary is in line with market rates

Finding the right people does not need to slow your growth. IDEX uses deep market knowledge and established sector relationships to connect firms with skilled professionals who can support long-term performance.

Review your advice team capacity

​