More than three quarters of financial advice firms are
considering taking on additional staff in the next few years,
according to a Personal Finance Society (PFS) survey.
The professional body's 2016 Member Survey reveals that 46% of
firms have plans to take on additional staff over the next 1-3
years, with an additional 30% saying they are uncertain but may
consider boosting their workforce over that timeframe.
Less than one quarter of respondents to the survey said they did
not have any plans to take on more staff in the near term
While the results indicate a strong intention to hire, the
survey also revealed that a lack of new talent remained a major
concern within the profession. More than one in five respondents
(22%) said a lack of talent and skilled trainees was a major threat
to the success of their business over the next 1-3 years.
PFS chief executive Keith Richards said: "The survey results
reinforce the need to encourage and support new talent in the
profession, which is vital to meeting succession planning
requirements, and the needs of an increasing number of consumers
who require professional financial advice."
"We have recently sponsored the development of a new Financial
Adviser apprenticeship standard, which offers a much-needed
alternative route for advisers to enter the profession. We will be
launching additional support and 'good practice' guidance for
member firms throughout 2017."
"Apprenticeships can help to overcome many of the financial
barriers facing financial planning firms seeking new talent, and
together with several other initiatives, will go a long way to
easing the increasing risk of a skills shortage developing further
in the coming years."
The Department for Education approved the new specialist
Financial Adviser apprenticeship standard in November, offering
employers up to £9,600 in financial assistance to contribute
towards the development of a competent financial adviser.
More than 1,600 PFS members responded to the professional body's
2016 Member Survey, which was conducted between 11 October and 8
November, and asked a series of questions about PFS services and
the general business and economic environment.
Two in five respondents to the survey said they were likely or
very likely to offer technical apprenticeships in the next 1-3
years (40%), while work placements and internships were a little
more popular, attracting the interest of 44% of respondents.
Graduate schemes were less popular, with a third of survey
respondents saying they were likely or very likely to offer a
graduate scheme in the next three years (34%).