Lighthouse Group says it is focusing on organic growth of its national arm following a restructure of the business.
Last week the group merged its national brands LighthouseTemple and LighthouseGP to form a single entity, Lighthouse Financial Advice, which will have 250 advisers.
The move will include a merging of the two brands’ management teams and will be completed in December.
From next March, advisers under the group’s network arms Falcon Group and LighthouseXpress will be regulated through a new entity, Lighthouse Adviser Services, a move that will affect around 400 of the group’s 850 advisers. Advisers will still be able to use the Falcon branding.
However, the group’s Scottish advice arm Lighthouse FSAS will continue to operate as a separate regulated entity.
Joint chief executive Malcolm Streatfield says the emphasis is now to grow the national arm of its business.
He says: “Our emphasis is on organic growth for this time. We are looking to grow our national business by engaging with quality advisers who want to join us.”
Streatfield says the restructure will result in a number of job losses due to the mergers. He says: “There will be a few job losses where we have got a duplicated effort but the other side of the equation is that there will be some job gains.
“While it is regrettable for any individuals directly affec-ted by this, there will be opportunities to grow.”
He says consumer demand for the group’s advisory services remains strong and is likely to increase.
He says: “Our national business is growing exponentially in terms of some of the large scale connections we have signed up recently, which is putting an ever increasing demand on us to provide good quality advisory services. We will be up-scaling our operations to deal with that.”
Streatfield says the merger of two of its network arms, Falcon Group and Lighthouse-Xpress, will allow the group to improve its technology in anticipation of the retail distribution review.
He says: “We now have the positioning of our regulated entity in the right spot. And by reducing the number of regulated entities that we have, we can put all of our effort into getting the right technology in place to deal with RDR.”
Streatfield is also confident the group is on a strong footing to achieve the required qualifications under RDR.