Mortgage News
N&P in talks to sell IFA arm
Merger-target Norwich & Peterborough (N&P) building society is carrying out a review of its IFA network with a view to selling off its 21 advisers.
The review, which also includes four sales managers, is due to be completed by the end of January and the building society is in talks with more than one potential buyer, according to a spokesperson.
N&P said the move is against a backdrop of the higher costs and increased difficulty in providing advice brought on by the RDR.
“We are seeing huge changes to how advice is offered with significant increases in the expense and difficulty of providing financial services,” said a spokesperson.
N&P expects other building societies with IFA arms to follow suit, she said.
The news comes as N&P chief executive Matthew Bullock announced his shock exit from the building society after 12 years at the helm.
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He will leave the company, which is mired in takeover rumours and claims of an up to £50m misselling scandal of Keydata products, once a successor is found.
Hundreds of N&P customers allege they were missold or over-exposed investments in Keydata, which collapsed in June 2009, by N&P advisers.