St James's Place swings to profit on strong inflows

(Sharecast News) - Wealth manager St James's Place swung to a full year profit in its annual results after a 20% leap in customer inflows after a tough year. Pre-tax profit rose to £536m from a loss of £4.5m in 2023. Gross inflows for the year totalled £18.4bn, compared to £15.4bn in 2023, taking assets under management to £190.2bn.

However, net inflows were down to £4.3bn from £5.1bn a year earlier as customers withdrew from their pensions in response to the government bringing them into the inheritance tax regime in last October's budget.

The company came under scrutiny after it set aside £426m a year ago because of complaints from customers who claimed they had paid large fees for advice that was never provided.

A pledge to overhaul fees made two years ago, including exit penalties, was "on track" to be in place in the second half of the year, the company said.

Reporting by Frank Prenesti for Sharecast.com