Lloyds pulls advice offer for sub-£100,000 customers
No advisers will be made redundant, although clients will be shifted to a non-advised service from November.
Lloyds Banking Group will stop offering advice to people with less than £100,000, as lower-value customers flee fee-based advice in the run-up to the Retail Distribution Review.
After examining how the market is likely to evolve post-RDR, Lloyds has decided to no longer offer investment advice from November to customers with less than £100,000, although they will continue to offer protection advice.
In a statement, a spokesperson for the group said: “For the majority of our customers demand for a fee based financial planning service decreases when they have lower amounts to invest.
Existing retail investment customers with less than £100,000 will still have access to a non-advised service through Halifax, Bank of Scotland and Lloyds TSB.
Customers with more than £100,000 of investible assets and who could benefit from financial planning will be referred to the company’s private banking service for fee-based investment advice.
The spokesperson added: “All of our financial advisers will be offered new roles within our business. There will be no compulsory redundancies.”