Adviser pay has reached a new record, according to landmark research into the profession by recruitment consultants BWD.
Nearly 1000 people took part in the survey, run jointly with Money Marketing, around half of which were financial advisers.
Average total earnings for employed advisers reached £93,100 in 2017, up from £81,500 in 2016.
For self-employed advisers the figure was marginally lower at £89,100, but still grew nearly 4 per cent year on year. Employed adviser pay packets outstripped their self-employed counterparts for the first time since 2013.
For employed advisers, the increase was driven by a £7,000 average increase in bonuses, reaching £27,500, on top of a £5,000 average increase in base salaries.
Since the census began in 2011, employed advisers have seen average pay increase by 40 per cent overall.
Now, more than 23 per cent of advisers are earning over £100,000.
BWD puts this down to a “very long bull market” combined with a raft of opportunities for advisers including continued under provision in protection, opportunities for workplace based planning, and automation helping assist lower income clients without removing the core of human advice.
BWD writes: “The development of a professionalised adviser community has led to a reduced supply of advisers at a time when pensions freedom coupled with general reduction in government and employer support has placed the onus on the individual – who of course needs advice. So low supply and high demand has to create a buoyant price for advice – reflected in the rates and volume of remuneration.”
Money Marketing will publish a full analysis of the results on Thursday and in this week’s print edition