The most noticeable level revealed by the network league table for the primary quarter this yr is the obvious big enhance of 170 AR companies becoming a member of Primis.
However, as Paul Day, founding father of Network Consulting, which produces the examine primarily based on the FCA register, explains the explanation for that is merely defined.
“Some 153 of those companies are attributed to the completion of LSL’s buy of TenetLime, including them to the Primis buying and selling type, which now contains 4 manufacturers. If we low cost the wholesale migration of those companies, then Primis skilled a minor web lack of three companies for Q1.”
Readers that observe the network league table will observe the entire omission of Tenet as a network entry. The sale of Tenet network AR’s lastly finishing, signifies that just about all of the AR companies and advisers inside the different Tenet manufacturers have now moved over to both 2Plan or Openwork.”
Day factors out that in line with the FCA register, the Tenet owned AR companies, TFS and TMS are actually twin authorised with Openwork, presumably as a part of a full transition pending. If that is the case, it might go away Tenet with two AR companies remaining, one in every of which they personal. If these two companies additionally migrate as a part of the sale, it’s going to solely go away the group with their compliance help service TCS, assuming they don’t have plans promote this too. It seems very very like this quarter ought to lastly draw a line beneath the unhappy exit of one of many longest standing and formally largest networks.
“The different main speaking level is the acquisition of John Charcol by Pivotal Growth, which was introduced in Mortgage Strategy on 4 April and makes this their eleventh acquisition to this point. Pivotal Growth is a three way partnership with a personal fairness agency, Pollen Steet Capital and LSL, which makes one surprise what LSL’s grand plan is and what different firms could also be of their sights,” Day says.
The web progress in AR companies skilled in This autumn of 2023 continued its pattern in to the primary quarter this yr, with 53 extra companies becoming a member of than leaving networks which are included within the table.
Adviser numbers (with mortgage permissions) stays regular amongst the highest networks, solely decreasing by 80 from the determine Network Consulting revealed for the tip of 2023. This equates to an insignificant discount of lower than 0.5%. The figures additionally take account of Sandringham and Envelop networks now not being included within the knowledge as their AR’s numbers are lower than 20 companies.
Other than Primis rising to an enormous 1,154 companies, Day factors out different networks with notable progress this quarter embrace Stonebridge with a web progress of 15 AR’s (2.3%), and as soon as once more TMG, with a web progress of 13 companies (21.3%).
“Rumours stay of additional consolidation and acquisitions inside mortgage distribution, however there isn’t any strong data to corroborate this, so this holds little credibility at current.”
However, as Day concludes: “There are positively progress plans of the ‘smaller’ networks, equally with entities that don’t at the moment seem on the table however could nicely do within the close to future as they break the 20 AR agency quantity.”
The network league table illustrates complete appointed consultant (AR) agency numbers for networks prevalent within the mortgage market, the actions in agency numbers for the primary quarter of 2024, together with present adviser numbers holding mortgage permissions.
Network
Total variety of AR companies
Number of AR companies that joined in Q1 2024
Number of AR companies that left in Q1 2024
Net change in variety of AR companies Q1 2024
Net change in share phrases
Number of advisers with mortgage permissions as per FCA register (CPD20 & CPD21)
Average variety of mortgage advisers per agency
St. James’s Place Wealth Management Plc
2772
46
50
-4
-0.1%
1391
0.5
Primis*†
1154
170
20
150
13.0%
2336
2.0
Quilter *
706
10
20
-10
-1.4%
1427
2.0
Openwork Limited
671
7
17
-10
-1.5%
2459
3.7
Stonebridge Mortgage Solutions Ltd†
651
38
23
15
2.3%
1136
1.7
HL Partnership Limited†
481
15
10
5
1.0%
862
1.8
The Right Mortgage Limited†
367
16
12
4
1.1%
698
1.9
Sesame Limited†
252
2
6
-4
-1.6%
570
2.3
2Plan wealth Management
250
23
4
19
7.6%
391
1.6
The On-Line Partnership Limited*
240
2
3
-1
-0.4%
310
1.3
Connect IFA Ltd†
203
16
1
15
7.4%
200
1.0
Mortgage Advice Bureau Limited
173
0
7
-7
-4.0%
1851
10.7
Sense Network*
166
11
4
7
4.2%
179
1.1
New Leaf Distribution Limited
163
6
2
4
2.5%
241
1.5
Mortgage Intelligence Ltd†
147
2
3
-1
-0.7%
337
2.3
Best Practice IFA Group Limited
124
8
4
4
3.2%
105
0.8
ValidPath Limited
113
9
0
9
8.0%
42
0.4
White Rose Finance Group Limited†**
106
11
8
3
2.8%
33
0.3
Beneficial restricted†
83
10
8
2
2.4%
89
1.1
Julian Harris*
77
1
2
-1
-1.3%
98
1.3
John Charcol Limited†
65
0
1
-1
-1.5%
152
2.3
Rosemount Financial Solutions (IFA)
64
1
1
0
0.0%
91
1.4
Dragon Brokers Limited†
62
6
8
-2
-3.2%
72
1.2
TMG Direct Limited†
61
13
0
13
21.3%
188
3.1
Corbel Partners
51
1
3
-2
-3.9%
55
1.1
Cornerstone Financial†
48
0
0
0
0.0%
148
3.1
Richdale Brokers
38
4
1
3
7.9%
21
0.6
Pi Financial Ltd
31
0
1
-1
-3.2%
76
2.5
Ingard Financial†
28
1
4
-3
-10.7%
36
1.3
JLM Mortgage Network†
26
0
0
0
0.0%
86
3.3
* denotes multipal principals (networks) buying and selling beneath one network brand
† denotes networks holding solely mortgage and safety permissions
** specialize in client credit score
Source: FCA register
Figures appropriate at eleventh April 2024