Poor service from platforms has impacted more than half of financial advisers, according to new research from Parmenion.
The firm’s report ‘The Impact of Poor Platform Service’ showed 54% of advisers say poor platform service has a significant impact on their business. However, this is down from 80% in last year’s report.
The vast majority (90%) of advisers have had to apologise to clients in the past 12 months because of poor service from platforms, down marginally from 95% in 2024.
In addition, two fifths (40%) of advisers say they have changed platform because of service standards, with the average adviser losing four hours a week dealing with platform issues.
The report highlighted issues around transfers, with the vast majority of advisers saying they would like to see more transparency around transfers in and out, and believe providers should publish data on this across all products they administer.
Martin Jennings, CEO of Parmenion, said: “In contrast to a rather dismal 2024 report, this year’s research shows platforms are taking steps in the right direction. Advisers have told us that service standards are rising, although there is further to go. There are still many pain points for advisers and dealing with frictions caused by platforms is costing advisers valuable hours each week which should be spent serving their clients.
“Transfers in particular are a source of problems for many advisers and a clear example of where our industry is falling short when it comes to client service. We hope to see greater transparency and accountability moving into 2026 so that next year’s report highlights great strides rather than small steps.”
Steve Nelson, insight director at the lang cat, added: “Quite rightly, service is a top priority for financial advisers, being the main factor that determines satisfaction, and also drives platform selection decisions. Although there has been a slight improvement since last year’s research, still 90% of advisers report having to apologise to clients for platform failings, which is surely unacceptable.
“One of the key themes that came out in the research was advisers wanting to see accountability from platforms when things go wrong. We hope to see more platforms listening and taking ownership of mistakes rather than passing the buck.”
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