The number of financial advice firms and in the UK has reduced by 15.6% since the start of 2022, according to new data.
The figures, obtained via a freedom of information request to the FCA by Begbies Traynor Group, found the number of financial advisory firms fell from 6,283 in Q1 2022 to 5,304 in Q3 2025.
The number of actual advisers has also shrunk significantly over the period.
Financial advisers ‘under 25’ have dropped below 200 for the second time since 2020, while the number of ‘experienced’ advisers in the ages 40-49 and 50-59 brackets have also fallen, reaching their lowest recorded numbers in Q3 2025 of 8,762 and 10,285, respectively.
Meanwhile, the number of advisers aged ‘over 60’ has increased by 11.8% since Q1 2022, staying above 7,000 advisers since Q2 last year.
Carl Lever, director at Begbies Traynor Group Advisory, said: “This data shows that more than 1,000 advisory firms have left the industry or have been consolidated since the start of 2022.
“So often we see that firms are leaving the industry because owners have decided enough is enough, it is time to wind down and exit – even if the company is solvent and successful. A big part of some of those decisions is the ability to find, train and retain good people.”
While he said that this is reducing the number of jobs available for future generations, it is also creating an opportunity for those that remain to “deliver advice to more clients needing their support”.
