Fewer advisers are offering independent advice than they were 12 months ago, according to research published by Aviva.
Only 79 per cent of advisers are now offering independent advice, a fall of 5 per cent over the last 12 months, an Aviva poll has revealed.
A survey of 1,500 advisers in March showed 15 per cent are now offering restricted advice, up from 10 per cent in March 2013.
Aviva’s data found network membership remained static at 37 per cent, although there was a slight drop in service provider membership from 20 per cent to 17 per cent.
Andy Beswick, intermediary director of retirement solutions for Aviva, said their survey results suggested there would be further movement towards restricted “but it will be a slow burn.”
Data collated by FTAdviser reveal there are significantly more restricted financial advisers in the market. Of a sample of 10,539 advisers polled, 2,538 (24.1 per cent) said they were restricted while 8,001 identified themselves as independent.
Mr Beswick said: “I don’t think there will be a substantive shift (towards restricted).
“People are still working out what business model is right for them. The idea that after the Retail Distribution Review there would be a wholesale shift in business models was never realistic and has not turned out to be the case.
“In this new world people are working out what is the most commercially beneficial way for them to be set up and, crucially, what their customers value most.
“Do their customers value independence or are there other things about how they operate that they value more?”
The poll revealed 64 per cent of advisers have increased the size of their active client base and 35 per cent of advisers are looking to hire new staff in the next 12 months.
Only 4 per cent of advisers told Aviva they were thinking of leaving the industry.
Around 86 per cent of advisers were largely optimistic about the proposed savings and pension reforms and the advisory market in general.
At least four out of five advisers predict they will see an increase in demand for advice amongst those aged 55 and over.
