Modest increase in AR firms across wealth networks, reveals Network Consulting
09 February 2026
New data compiled by Network Consulting shows a modest increase of 89 appointed representative (AR) firms across wealth management networks, though the underlying trends reveal a more complex and evolving market.
Each quarter, Network Consulting analyses changes in the FCA Register to pinpoint shifts in the wealth management network landscape.
The study shows that as of January 2026, St. James’s Place Wealth Management (SJP) continues to dominate in terms of scale, boasting 2,776 AR firms, by far the largest network footprint. It also recorded the highest number of new AR firms joining in 2025 (194), although its net growth was minimal at just six firms. This gain is largely attributed to its academy programme, which consistently feeds new entrants into the network.
In contrast, ValidPath Limited emerged as the standout performer in net growth terms, adding 80 firms, an impressive 31.1% increase. Rosemount Financial Solutions and New Leaf Distribution also posted strong gains, with growth rates of 28.6% and 10.9% respectively. Notably, both networks are active in mortgage protection, suggesting that dual-sector engagement may be a contributory factor in their expansion.
On the other end of the spectrum, Openwork Limited experienced the steepest decline, shedding 29 (Net) AR firms over the year. M&G and Pi Financial also saw significant contractions, with Pi Financial’s 34.8% drop representing the largest percentage loss among all networks, although this was only 8 firms from its modest number of AR firms.
Moving away from direct authorisation
Beyond individual network performance, broader structural shifts are underway. A recent Freedom of Information response from the FCA, obtained by Network Consulting, reveals a sharp contraction in the Directly Authorised (DA) retail advice space between 2020 and 2025.
DA firms operating in both wealth and mortgage sectors declined by 24.4%, equating to a loss of 957 firms. Wealth-only DA firms fared little better, falling by 19.4%, a reduction of 1,054 firms.
Paul Day, founder and director of Network Consulting Services, commented:
“These figures suggest a growing preference among advisers for network affiliation, potentially driven by regulatory pressures, Consumer Duty requirements, a more arduous application process and perhaps threshold requirements. While networks are gaining ground, the shrinking DA segment raises questions about long-term market diversity and adviser autonomy.
“As the industry continues to adapt to regulatory change and shifting adviser preferences, the AR model appears to be consolidating its position as a dominant force in UK retail financial advice. Whether this trend continues will depend on how networks balance growth with quality, and how the FCA responds to the evolving landscape.”
Ahmed Bawa, CEO of Rosemount Financial Solutions (IFA), added:
“It’s very gratifying to see our outstanding growth rate. Advisers are thinking carefully about their future, and looking to work with networks who not only recognise them as individuals but have the support structure in place to ensure they reach their full potential. Technology is a key element there - advisers want to work with networks that have invested in tools which make their lives easier, and take on some of the heavy lifting involved in being a top class adviser. For networks, the challenge is not just to attract new advisers, but to ensure they provide the ongoing support which allows the advice firm to thrive for the long term.”
View at 2025 Full Year Network League Table | Network Consulting
