Selling Without Advice: Who Really Wins?

Is “targeted support” genuinely the answer to financial exclusion—or is it just another clever way to sell products without proper safeguards?

St James’s Place (SJP) recently argued that the Financial Conduct Authority’s (FCA) proposed “targeted support” model is beneficial. Beneficial, yes—but for whom exactly?

Let’s cut through the noise.

The Myth of the Advice Sector

First off, let’s be clear: the industry often calls itself the “advice sector,” but this term masks the reality of what’s actually happening. True advice means thoroughly understanding someone’s life goals, financial circumstances, and helping them achieve genuine financial security. But too often, what firms label as ‘advice’ is really just selling financial products with minimal regulatory oversight.

In simpler terms: They’re selling first, advising second—if at all.

Who Really Benefits?

SJP highlights the growing “advice gap”—meaning many people are considered “too poor” to be given real, personalised advice. Instead, they get “targeted support,” which translates into product sales based on broad segments rather than individual needs.

Sounds familiar? It should. This is essentially the return of old-style Bancassurance under a shiny new label, despite reforms meant to end exactly this practice.

Holistic Advice—Or Just More Sales?

Another favourite industry buzzword is “holistic advice.” It sounds great—advice tailored around your whole life, finances, and aspirations. But here’s the reality check: when the industry says “holistic,” they usually mean selling you multiple products—maybe an investment and a mortgage at the same time. It’s not about comprehensive financial guidance; it’s about cross-selling.

The Confidence Con

SJP argues people with a financial plan have significantly more wealth. But this confuses cause and effect. It’s not because these plans are necessarily better. It’s because product sellers cherry-pick wealthier clients who already have money, neglecting the rest.

Sure, people with plans might feel more confident. But genuine financial confidence should come from impartial, expert guidance—not a salesperson with hidden incentives.

Where Trust Broke Down

Public trust hasn’t just vanished overnight. It’s eroded precisely because salespeople present themselves as advisers. Clients are wary of mentioning their assets to SJP reps, fearing relentless product-pitching rather than unbiased advice. This leads to less openness, incomplete planning, and ultimately poorer outcomes.

What’s the Real Answer?

Yes, financial planning is crucial. But we don’t need more cleverly disguised sales pitches. We need transparency, impartiality, and genuine guidance that puts consumers—not profits—first.

So, Is Targeted Support a Good Thing?

If “targeted support” simply becomes another channel to sell products with minimal safeguards, it’s not consumers who’ll benefit. The FCA must ensure strict clarity about what consumers receive—and what they’re not receiving—in this model.

Real change won’t come from rebranded sales tactics. It comes from real advice—clear, ethical, and consumer-centred.

The bottom line? Consumers deserve better. Let’s make sure they get it.

What do you think? Share your views in the comments below.