St. James's Place: Strong Inflows

St. James’s Place reported a strong start to 2025, with gross inflows of £5.14 billion in Q1, up from £3.97 billion in the same period last year. Net inflows more than doubled to £1.69 billion, reflecting heightened client engagement despite ongoing market volatility. Funds under management stood at £188.59 billion as of 31 March, slightly down from the previous quarter due to global market declines. CEO Mark FitzPatrick highlighted the resilience of SJP’s advice-led model, noting that advisers continue to support clients in navigating uncertain economic conditions. The firm is progressing with key initiatives, including a simplified charging structure set to launch this summer and a comprehensive review of historic client servicing records. Additionally, SJP is implementing a cost and efficiency programme aimed at achieving £100 million in annual savings by 2027, with a cumulative target of £500 million by 2030. This includes a planned reduction of approximately 500 roles, focusing on streamlining operations while maintaining adviser support.

Hargreaves Lansdown: Changing Landscape

Following its £5.4 billion acquisition by a consortium including CVC Capital Partners, Nordic Capital, and the Abu Dhabi Investment Authority, Hargreaves Lansdown has undergone significant leadership changes. Co-founder Peter Hargreaves is set to return to the board as a non-executive director, a decade after stepping down. His son, Robert Hargreaves, will join as a board observer. The acquisition, completed in March 2025, led to the company's delisting from the London Stock Exchange. The new ownership structure aims to enhance HL’s competitiveness by investing in technology and potentially reducing fees to better serve its 1.9 million clients managing £157.3 billion in assets.

Quilter: Strong Inflows

Quilter plc, a prominent UK wealth management firm, reported £2.2 billion in net inflows during the first quarter of 2025, primarily driven by its mass affluent segment. Despite these substantial inflows, the firm's assets under management (AUM) experienced only a slight increase from £119.4 billion to £119.6 billion by the end of March. This modest growth is attributed to market declines and currency fluctuations that offset the positive impact of new client investments. Chief Executive Steven Levin commented on the firm's performance, stating, "Market indices weakened during the first quarter, with the impact of this broadly offsetting our net inflow performance." He also noted that the second quarter has seen significant volatility across all asset classes, as bond and equity markets have reacted to proposed US tariffs. Quilter's resilience in attracting new investments amid challenging market conditions underscores its strong client relationships and the effectiveness of its wealth management strategies. The firm's ability to maintain positive net inflows during periods of economic uncertainty highlights its position as a trusted advisor in the UK wealth management sector.​

With the 2024/25 tax year now closed, attention turns to the opportunities available in the new 2025/26 tax year. Ongoing changes to tax policy — including inheritance tax reforms, pension taxation, and capital gains allowances — mean that thoughtful planning is more important than ever. Pension Contributions Remain a Key Planning Tool For high earners, pension contributions continue to offer valuable tax relief at your marginal rate. With the annual allowance still set at £60,000 (subject to tapering for those with adjusted income over £260,000), now is the time to review both current and carry-forward allowances to make the most of unused relief. ISAs for Tax-Free Growth The ISA allowance remains at £20,000 per individual for the 2025/26 tax year. While no immediate tax relief is given on contributions, all income and gains are free of tax — making ISAs a core component of long-term tax efficiency, especially for younger investors and those planning for retirement outside of pensions. Capital Gains Tax (CGT) Strategy The CGT annual exemption sits at £3,000 per person in 2025/26. Planning disposals strategically across tax years, using loss harvesting and considering inter-spousal transfers, can help mitigate CGT bills. Business owners should also consider Entrepreneurs’ Relief or Business Asset Disposal Relief, where available. Inheritance Tax (IHT) Planning Grows More Urgent With frozen thresholds and rising asset values, more estates are falling into the IHT net. From April 2027, pensions will begin to form part of the taxable estate — reducing a key historical planning advantage. Individuals should consider lifetime gifting strategies, discounted gift trusts, or business relief qualifying assets such as AIM portfolios. Venture Capital Trusts (VCTs) and Enterprise Investment Schemes (EIS) For experienced investors, VCTs and EIS continue to offer attractive reliefs — including 30% income tax relief, CGT deferral, and IHT advantages for certain EIS investments held for two years. These are particularly relevant for clients seeking diversification and long-term growth with tax incentives. The key takeaway? Early action in the tax year provides more flexibility. Whether it’s making use of allowances, aligning investment wrappers, or planning for intergenerational wealth transfer, now is the time to review your strategy.