A Stoke-on-Trent-based financial planner is encouraging younger people to consider a career in the profession.
Jack Farmer, who works at Wealth Experts, is also calling for urgent action to address the significant decline in the number of young individuals pursuing careers in financial planning.
According to the Financial Times Adviser, just less than 6% of all authorised Financial Planners are under 30, with only around 0.5% being under 25.
Planners over 50 constitute over half of all planners in the UK, indicating a substantial generational gap within the profession.
Jack said: “Now that we know the number of young planners is alarmingly low, it’s time to think about the potential implications this could have on the future of financial advice in the UK, and what we can do about it.
“It’s crucial to recognise the looming advice gap that could emerge as the older generation of advisers retires, given the vast difference between the number of young and older advisers.
“Financial planning is often overlooked as a career option, due to a lack of understanding about entry pathways, qualifications, and the profession’s overall visibility.”
The barriers to entry, including the cost of qualifications and limited educational pathways, have further compounded the issue. Despite Wealth Experts committing to cover study costs, there remains a pressing need for more accessible routes into financial planning, such as apprenticeships and expanded academic programmes.
With only one financial planning degree currently available in the UK at Coventry University, the options for aspiring financial planners are limited.
Jack added: “Introducing financial education in schools and colleges would not only increase awareness, but also cultivate an interest in financial planning among younger individuals, potentially reversing the current trend of declining numbers.”
Expressing concern over the broader societal impact, Jack highlighted the potential consequences of a diminishing pool of financial planners on national financial literacy.
Data has further revealed a marginal increase of only 38 planners from August 2022 to February 2024, signifying a mere 0.1% growth in the total number of authorised financial planners across the UK.
Considering these statistics, Jack has called upon the next generation to consider a career in financial planning, highlighting the rewarding nature of the profession in positively impacting people’s lives.
“Becoming a financial planner not only offers the satisfaction of helping others achieve financial security and freedom, but also equips individuals with valuable skills for personal benefit,” he stated.
Wealth Experts’ efforts to nurture young talent has resulted in onboarding three university graduates since 2019. Jack was the first of those graduates, joining after studying Accounting and Management at Keele University. He began his career as a Paraplanner and completed his exams in August 2022, where he became qualified to be a Financial Planner in 2022 at the age of 24.
Jack stressed the potential positive outcomes for clients if there were to be an influx of young financial planners, underlining the industry’s shift towards a more personalised and client-centric approach.
“If we work collectively to help bring in as many graduates into the profession as possible, we’ll be able to reverse the current trajectory and ensure a sustainable future for financial planning in the UK,” he concluded.
