Financial advice firms are pressing aggregators to broaden their role beyond simple access to lending panels, arguing that in the current economic and regulatory climate advisers need practical support across compliance, training and business growth.
Aggregators under pressure to deliver wider services
Industry figures say that while traditional benefits such as access to lenders remain important, they are now viewed as a baseline. Advisers want partners that will help them manage regulatory obligations, develop staff capabilities and strengthen commercial performance.
Compliance support, professional development and technology are repeatedly cited as priorities. Those services are valued because many small advice firms lack the time, expertise or clout to negotiate directly with lenders, keep ahead of regulatory change or deliver structured training programmes in-house.
“They need to offer a broad range of services for every adviser depending on how much support the adviser or FAP requires,”
The remark above reflects a commonly voiced view within the sector that aggregators must be adaptable: some advisers need only back-office compliance, while others seek proactive marketing, coaching or introductions to new industry partners.
What advisers want from their aggregator
Two senior advisers highlighted distinct but overlapping expectations. One said aggregators should act as the “backbone” of an advice business, supporting everything from administration to continuing professional development. Another argued aggregators have a role in raising standards across the industry by emphasising compliance and creating routes for professional advancement.
- Compliance and risk management: practical help meeting regulatory duties.
- Training and CPD: structured professional development and coaching.
- Operational support: administration, technology and marketing assistance.
These demands come as advisers grapple with tighter margins and a complex regulatory environment. For many, the ability of an aggregator to advocate on their behalf with lenders and regulators is seen as a valuable time-saver and source of influence.
| Service | Why advisers value it |
|---|---|
| Compliance support | Reduces regulatory risk and administrative burden |
| Training & CPD | Improves standards and staff retention |
| Business development | Helps firms grow and diversify revenue |
Implications for costs, pay and jobs
Any expansion in the services offered by aggregators will have distributional effects. If aggregators invest more in compliance teams, training programmes and technology platforms, those costs will ultimately be borne by advisers or consumers through fees and commissions. For advisers operating on tight margins, this could squeeze take-home pay or force tough choices about staff numbers and hiring.
Conversely, better support could help small firms become more efficient and compliant, reducing the risk of regulatory penalties and creating scope for growth. That could preserve or create jobs in the advice sector, particularly in paraplanning, compliance and client-facing roles.
The debate also has implications for competition. Aggregators with the resources to provide comprehensive suites of services may gain market share, leaving smaller providers that focus only on lender panels at a disadvantage. For the market, this could mean a consolidation of support services around a handful of large groups.
Regulators will watch these developments closely. If aggregator models influence adviser behaviour — for instance by shaping which products advisers can access or how they operate — there are potential consumer-protection and market-integrity questions to consider.
In short, the role of aggregators is shifting from simple access facilitators towards multi-faceted service partners. How that transition is funded and regulated will matter for prices consumers pay, adviser incomes and the structure of the UK advice market.
