Advisers see pre-tax profits fall - APFA report

Margins remain 'thin'

clock • 2 min read

The advice sector's pre-tax profit fell by more than £50m in 2016, according to the latest annual market report from the Association of Professional Financial Advisers (APFA).

Retained profit more than doubled from £61m to £127m in the advice sector between 2015 and 2016, despite pre-tax profit dropping from £835m to £779m over the same timeframe. APFA warned margins in the sector "remained thin". Turnover increased by 6.5%, continuing the gentle upward trend the sector has seen since 2009, with advisers each taking in £183,474 on average. The trade body uses Financial Conduct Authority data when putting together its annual sector review. APFA director general Chris Hannant (pictured) said: "While turnover has increased in recent years, pre-tax profits have...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

IPT receipts hit £4.53bn in H1 2026/27

IPT receipts hit £4.53bn in H1 2026/27

Down £11m year-on-year

Jaskeet Briah
clock 21 October 2026 • 2 min read
IHT receipts reach £4.7bn ahead of Autumn Budget

IHT receipts reach £4.7bn ahead of Autumn Budget

Increase of £300m from the year prior

Isabel Baxter
clock 21 October 2026 • 2 min read
AI blurring the line between regulated and unregulated financial advice: FCA

AI blurring the line between regulated and unregulated financial advice: FCA

Risks of consumer harm, cyber vulnerabilities and operational failures

Jack Roach
clock 19 October 2026 • 4 min read