The Financial Services Compensation Scheme (FSCS) declared Optimise Wealth Management, FP Consulting Limited, Northern Provident Investments Limited and RSS&L Limited in default on 24 February 2023.
Since the start of the year, 19 advice firms have failed – with one company under investigation with the FSCS.
The most recent firms declared in default were WGL Altrincham Limited, Bailey Richards Wealth Management and Corporate Benefits Consultants.
Optimise Wealth Management
London-based Optimise Wealth Management offered a range of advice services.
The FSCS said that it has received 31 claims against the firm, mainly defined benefit pension transfers – but this does not include British Steel Pension Scheme (BSPS) claims.
One claim has been upheld, and there are currently 24 in progress and six have been rejected.
According to the FCA, the advice firm was authorised from February 2019 to July 2022.
Companies House documents show that the firm dissolved in June 2022.
FP Consulting
The Bromsgrove-based firm offered financial advice services and was a firm associated with the BSPS.
The company is currently in liquidation after it was placed in voluntary liquidation in April 2020.
It has several trading names including the Salmon Partnership, RMS Wealth Management, Honeypot Financial Services and Chilworth Financial Management.
The FSCS said that it has received 40 claims mainly for DB pension transfers, includes BSPS claims.
Some 38 claims are in progress, one has been upheld and one has been rejected.
Northern Provident Investments
The London-based firm offered a range of investment advice services.
It had a number of trading names including Money Labs Ltd and ISA Lab.
The FSCS said: “From 27 July 2015, NPI was authorised by the FCA and operated a debt-based crowdfunding platform where customers could buy illiquid debt securities and shares. NPI typically acted as an ISA manager for the investments on offer, many of which were mini bonds.
“Investments in mini bonds commonly offer customers high returns, but are both high risk and highly illiquid. Customers may find it difficult to sell their investments if they need to access the money they invested.
“NPI did not hold customers’ investments themselves. Despite the failure of NPI, customers will, therefore, continue to hold their investments, either directly or within an ISA wrapper.”
According to the FCA, the firm has applied to cancel its permissions.
The UK lifeboat scheme has received 194 claims against the business relating to various investments, with 193 in progress and one upheld.
RSS&L
The Sutton Coldfield-based advice firm offered a range of services and is one of the firms with links to the BSPS.
The FCA said it was authorised between May 2017 and July 2018.
The UK lifeboat scheme added that it has received two claims against the company for DB pension transfers, including BSPS claims.
One claim has been upheld and one claim is ongoing.
According to Companies House, the firm dissolved in November 2019.
