Comprising 9% of the UK’s total economic output, the finance industry is an important part of the UK economy and is a key driver of growth. The financial and insurance services sector generated £208 billion into the UK economy in 2023, making it the UK’s fourth largest industry.
In recognition of the contribution the wealth management industry makes to the UK economy and the benefits that investing and wealth planning can bring for individuals’ long-term financial stability, the government has made it clear that it wants to support growth in the UK finance sector and in particular private banking, wealth management and retail investing as part of its wider growth agenda.
It tasked industry body PIMFA with speaking to wealth managers to better understand our thoughts on how the industry can drive economic growth. I met with PIMFA in recent weeks as part of the consultation to ensure our firm’s and, above all, our clients’ voices were heard. As further government discussions take place, I have and will continue to take a proactive approach in representing our collective interests at the highest possible level.
The wealth management sector plays an integral role in helping individuals to protect their wealth, make it work as hard as possible for them and to help it last through the generations. I feel strongly that access to top quality wealth management should not be the preserve of the super-rich: our recent further development and strengthening of our multi-asset Investment Management Service proposition alongside an award-winning wealth planning service means we are able to provide a consistent level of service to all clients regardless of their investment size.
Harnessing new technology to support good client outcomes has been identified as a key way for the industry to boost growth – and a conversation around AI adoption is inevitably part of this. As our firm keeps pace with the speed of change in technology, both from a productivity and security perspective, we will make sure that technological adoption never compromises the personal level of human service for which we’ve been known throughout our 75+ year history – after all, who hasn’t been on the receiving end of an infuriating call to a company call centre automated system or website chatbot, trying in vain to speak to a real person?
The other three areas of focus PIMFA identified for growth are the need for a simplified regulatory environment, certainty around tax policies that encourage long-term saving and wealth building – and lastly improved financial literacy and education in the UK. To play our part in this latter area, we have recently created our Wealth in Women’s Hands report and are running regular events to highlight the UK’s gender investing gap, while a new financial education report aimed at young people will also be released in the near future.
What does growth mean to JM Finn as a firm? I feel very proud that our growth is founded largely on referrals from existing clients – so very simply, the key priority is to continue listening to our clients and be responsive to their needs across their financial lives. Put our clients first, and growth for us, and UK plc, should follow.
