This is an ideal time to remind our clients of the tax efficient allowances that are available to them and their family.

Individual Savings Accounts (ISA)
The current limit remains at £20,000 per tax year into one or multiple accounts. Any growth achieved will not be subject to income or capital gains tax and for many this remains an integral part of a tax efficient investment strategy.

Do you have a flexible Stocks and Shares ISA that allows withdrawals to be paid back in within the same financial year? If not discuss this with your Advisor.

As announced in the last budget, from April 2027, the amount that can be placed into a Cash ISA for the under 65’s will be reduced to £12,000, which may trigger a change to the way that you use your allowance.

Junior ISA (JISA)
This is an account that can be opened for children under the age of 16 with an annual limit of £9,000. Neither income or capital gains tax are charged on any growth achieved and can be used as a foundation for university fees, first property purchase etc.

Lifetime ISA (LISA)
This account is designed to assist anyone who is looking to plan for their first property purchase and/or retirement and can be opened between the ages of 18 and 39. The maximum subscription each tax year is £4,000 which then receives a bonus of 25% from the Government, turning a £4,000 investment into £5,000 each year, before any potential investment growth.

A new first time buyer ISA is anticipated in April 2028, and we will share details once full information has been received.

Pensions
If you are employed it is likely that you are a member of your Workplace Pension scheme. We would certainly encourage remaining within or joining your Company scheme as your employer will also contribute at least 3% of your salary, in essence “free money”.

Changes to company pension contributions made through salary sacrifice are planned for April 2029, your Advisor will be able to discuss the possible impact to you nearer the time.

If you do not have access to a company funded scheme or have surplus capital or income available after contributing to your workplace scheme, pension contributions still represent an extremely tax efficient method of investing towards your future

If you own your own business, you may be able to fund your pension through your company, extracting profits tax efficiently by reducing the amount of corporation tax that you pay.

You can discuss the maximum amount that you could place into a pension and receive tax relief at your highest marginal rate with your Adviser.

The options above often form the basis of a tax efficient investment portfolio. However if all available allowances are being used and appropriate funding of the above tax wrappers has already been made, alternative investments may result in tax being paid.

Talk to your advisor to explore all investments options available and you will be made fully aware of the possible tax implications of any recommended investment solution.

The payment of tax, after using the traditional tax efficient methods referred to above, should be viewed as a positive as it means that you’ve made a return on your invested funds!!

​​Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 21st January 2026. You are recommended to seek competent professional advice before taking any action.

A Shift in Global Market Leadership

For the first time in years, the US lagged behind other regions. Even with record‑level investment flowing into the “Magnificent Seven,” some investors grew cautious due to the high valuations and heavy tech-sector concentration within the S&P 500.

Meanwhile, Emerging Markets benefited from:

Strong growth forecasts

A softer US dollar

Investor appetite to diversify away from US concentration risk

Tariffs, Trade Tensions & A New Global Landscape

No review of 2025 would be complete without the events of early April, when the Trump administration announced sweeping new tariffs on “Liberation Day.” Markets reacted swiftly with bouts of volatility as:

• Negotiations stalled and resumed
• A patchwork of new trade agreements emerged
• Companies and consumers braced for shifting supply chains

The result: the US now faces its highest average tariff rate since 1935, with goods such as clothing, electronics, computers, and vehicles among the most affected.

The full long‑term economic impact is still unfolding.

AI: The Defining Mega‑Trend Going Into 2026

Artificial Intelligence continued to dominate headlines and investment flows.

2025 saw billions invested into AI‑focused companies, pushing valuations higher.
However, investors remain watchful about:

• How quickly AI will begin improving corporate profits
• Whether the long-term cost efficiencies will justify the scale of investment

AI remains one of the most influential forces shaping markets in 2026.

Central Banks Shift Their Stance

Across 2025, nine major central banks cut interest rates, including:

• The US Federal Reserve
• The European Central Bank
• The Bank of England

Inflation continued to cool from its peaks, although it remains above target in key economies.

Japan, in contrast, stood out by raising rates twice which provides another reminder of how varied global monetary policy has become.

What About Fixed Income?

Despite a noisy backdrop, Sterling credit markets proved resilient, rewarding investors with attractive yields supported by strong company fundamentals.

Other areas also showed promise:

• Government bonds became more attractive as falling rates boosted valuations
• Global inflation‑linked debt offered potential protection from unexpected inflation at far better prices than in recent years

Looking Ahead to 2026

Sticky Inflation

Inflation remains stubborn and this is especially the case in the US. New tariffs may increasingly feed through to consumer prices as retailers reach the limit of what they can absorb.

A Volatile Start to the Year

2026 began with fresh geopolitical uncertainty following the arrest of Venezuela’s Nicolás Maduro by the US administration. With no clear successor named, questions about the future of Venezuela’s oil production could impact global energy markets.

Expect More Volatility (But Stay Calm)

While markets have seen repeated bouts of turbulence in recent years, volatility itself is not new. Our Investment Committee continues to believe in diversification and remains committed to making allocation changes only when we have strong conviction.

We encourage investors to stay focused on the long term. Attempting to time short-term market swings is rarely effective and keeping a steady, rational approach allowed our portfolios to deliver positive returns over the past 12 months.

​​Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 21st January 2026. You are recommended to seek competent professional advice before taking any action.

What Didn’t Happen

• Tax-free pension lump sums remain unchanged. This is a rumour that has circulated for many years and once again proved unfounded.

• Income Tax rates were not increased—although changes elsewhere will still affect how much tax you pay.

• Cash ISAs have not been abolished, though the allowance for under‑65s will reduce in future years.

• Many changes will be phased in over several years, giving time to plan.

Stealth Tax Rises – What You Need to Know

The most significant announcement was the further extension of the freeze on Income Tax and National Insurance thresholds—first frozen in 2021 and now scheduled to remain unchanged until 2031.

This continues a trend where other allowances have not increased for many years some of these are:

• Inheritance Tax: Nil Rate Band (£325,000 since 2009), Annual Gift Exemption (£3,000 since 1981), Small Gift Exemption (£250 since 1981)

• Maximum Pension Tax-Free Lump Sum: £268,275 (since 2024)

• Personal Allowance taper applying once income exceeds £100,000 (unchanged since 2010)

These freezes appear to be the preferred method of increasing tax revenue and mean more people will gradually pay higher levels of tax. Our role is to help ensure your finances remain as tax‑efficient as possible while still aligning with your long-term objectives.

Other Key Announcements Affecting Financial Planning

(Effective from 6 April in the year stated)

• State Pension to increase by 4.8% in 2026

• Dividend tax rates to rise by 2p from 2026

• Property and savings income tax rates to increase by 2p from 2027

• Cash ISA allowance for under‑65s to reduce to £12,000 per year from 2027

• “Mansion Tax” for homes valued above £2 million from 2027

• Consultation on a Lifetime ISA replacement – details to follow

• Salary sacrifice arrangements to attract National Insurance from 2029

• Venture Capital Trust (VCT) income tax relief to reduce from 30% to 20% from 2026

Opportunities and Next Steps

While several measures will gradually increase tax liabilities, early planning can help minimise the impact. Areas we will continue to focus on include:

• Optimising pension contributions

• Making full use of allowances while they remain available both when saving and taking income.

• Reviewing investment wrappers (ISAs, pensions, bonds, etc.)

• Considering intergenerational planning opportunities

• Evaluating the impact of property‑related changes

We expect to pick up these themes with you at your annual review, but if you wish to discuss at an earlier point please contact your adviser.

Kind Regards
Paul Richardson BA (Hons), FPFS, Cert SMP
Chartered Financial Planner
Financial Planning Director
​

​​Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 28th November 2025. You are recommended to seek competent professional advice before taking any action.

In the budget last October, Rachel Reeves announced plans to include pensions in estates for the purposes of Inheritance Tax (IHT). This is a change and will impact many families.

The changes are not until April 2027 so the current rules still apply, later in this email we will cover the changes, but first we must not overreact. Pensions remain an excellent savings vehicle.
This email is an overview, please speak to your adviser if you wish to discuss further.

Why Pensions remain attractive

• Inheritance Tax – Unused pensions can usually still be passed to a spouse or civil partner free of IHT
• Tax relief on personal contributions – HMRC tops up at your marginal rate, with some individuals able to achieve effective relief of up to 60%
• Salary sacrifice – saves Income Tax and National Insurance.
• Employer contributions – additional contributions on top of your own contributions.
• Business owner advantage – company pension contributions can be treated as an allowable business expense, reducing Corporation Tax.
• Tax-free investment growth – no Capital Gains Tax or Income Tax within the wrapper.
• 25% of the fund available tax-free – when you access the pension there is a potential for a lump sum or income stream tax free. This is subject to limits.
• Flexible access – draw income in a way that suits your tax position.
• Maximising Inheritance – Your beneficiaries may still pay less income tax than you especially if you die before age 75.

What are the draft rules? 

• From 6th April 2027, most unused pension funds and death benefits will be included in the value of a person’s estate for inheritance tax purposes.
• For any pension death benefits passing to a surviving spouse, civil partner, registered charity or political party, the existing exemptions will remain.
• Personal Representatives will be responsible for reporting and paying any inheritance tax due on unused pension funds..
• Pension Scheme administrators will have new duties to support Personal Representatives in paying inheritance tax including a new Pension Inheritance Tax Payment Scheme.

Are there any pensions that are exempt from the rules? 

• Joint Life Annuities
• Death in Service schemes
• State pensions
• Dependent’s scheme pensions from money purchase schemes and Defined Benefit Schemes

What will we be reviewing with you.

Marriage/Civil Partnership! 
If you’re not married to your partner then get it done. Not for romance, for tax reasons – this includes civil partnerships.
Spending
The easiest way to pay no Inheritance Tax is to spend the money, however this is only if you have enough money to support your lifestyle for the rest of your life.
Gifting
There are many ways to gift excess money, both directly and indirectly.
Using Inheritance Tax exemptions 
Are you using the full potential of exemptions available?
Investments outside of Pensions
There are still investment solutions outside of pensions that can qualify for Inheritance Tax exemptions. If suitable, we will discuss how they fit your objectives.
Life Assurance
If you can’t afford to give money away, you may be able to insure the liability.
Review Expression of Wish forms
Who gets the money when you die and what is the most tax effective way.
Annuities
The balance between guaranteed income and passing an inheritance is changed by these rules.
Review your Wills
Do the new rules change the balance of your wishes?

Kind Regards
Paul Richardson BA (Hons), FPFS, Cert SMP
Chartered Financial Planner
Financial Planning Director
​

​​Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 15th September 2025. You are recommended to seek competent professional advice before taking any action.

US equities fell in the first quarter of 2025 with Information Technology and Consumer Discretionary sectors posting the steepest declines. China’s Deepseek caused investors to reassess growth expectations around AI and the US leadership in the field and as the AI theme has powered stock market returns in recent years, this news put pressure on some of the largest stocks of the index.

We can’t ignore that Trade tariffs were another significant theme in the first half of 2025. On 2nd April or “Liberation Day”, the Trump administration announced a broader swathe of tariffs in addition to those already announced on Mexico and Canada and certain goods. The markets reacted with fear and further losses were seen across a broad spectrum of equities. Gold became a temporary safe haven amid the market volatility.  No sooner had the Trump administration announced the new global tariff regime that was due to start one week later, a 90-day pause was announced for all but China which saw duties increase to 125%. On 12th May 2025 a 90-day tariff reduction between the US and China was announced which saw US markets surge with many of the losses from April recouped.

The Eurozone market did well with investors looking to European equities in the wake of the Deepseek sell off.  Some of these early gains were wound back following the global tariff announcements with the automobile sector being the first to feel the effects of investor concern but following the announcement of the 90 days pause, markets regained some lost ground.

In the UK, large cap companies saw growth in the first quarter although sentiment towards UK Small and Mid sized companies remained cautious due to the economic outlook. The pledge from the UK’s largest pension funds in May to invest at least 10% of their assets in unlisted markets by 2030 is expected to help bolster the AIM market and smaller company sector.

In mid May, the UK and EU announced a new agreement which included fewer restrictions on British food exports, improving energy security and a defence and security pact that could pave the way for British companies to take part in a €150 billion programme to rearm Europe.  Although this announcement, along with a new trade deal with the US and India will unlikely lead to an immediate economic boost, it could lift business confidence and attract more investment. 

Michelle Gardner FPFS, on behalf of the Fairey Associates Investment Committee
Chartered Financial Planner
Senior Paraplanner 

Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 9th June 2025. You are recommended to seek competent professional advice before taking any action.

The sun has been out, the temperature is rising and April’s sporting occasions have started. We have a new tax year, upcoming new rules and I have been spending time plodding the streets in preparation for the London Marathon. But we can’t talk about any of those until we talk Trump, Tariffs & the Stock Market.

TRUMP, TARIFFS & TRADE WARS

Our simple message here is hold tight, throughout history events happen that send markets tumbling, they also were then followed by recovery. At the end of the email you will see a graph of the US market over the long term, whilst drops can seem large at the time they are mere blips over the longer term.

When we boil down any market drop, the key is normally “uncertainty”. By that I mean that the new events mean that what was previously expected is not going to happen and that the market needs to reassess. The problem at this point is that nobody knows how, in this case, the tariffs and potential trade wars will develop, whether this will force economies into recession or whether we will just look back at a “storm in a teacup”. When you don’t know this you cannot reassess how you expect individual companies and assets to perform.

To use a completed scenario we can cast our minds back 5 years to March 2020. At this point, markets were in turmoil as the spread of Covid, potential lockdowns & other worse case speculation worried everybody. Key questions such as “what does a lockdown look like?”, “will companies go bust?”, “what will government do to support?” were all yet to be answered. Once they were answered, which in the UK was at the point Boris Johnson announced the first lockdown and as the furlough scheme was announced, the markets were able to settle, reassess and realise the panic had been for a scenario worse than the reality. The market recovered from there.

As always we review our positions and are currently starting to complete our full annual review. The Trump unpredictability factor is likely to be a theme for the next 4 years, but investors will still be invested after he is gone and companies will find ways to adapt to the environment.

OPPORTUNITIES

For those of you who have investments with potentially taxable gains, this may be an excellent time to move to more tax efficient investments as the potential tax has reduced. If you make lump sum contributions to pensions or ISAs, it is now a lot cheaper to get into the market.

TAKING MONEY OUT

On the flip side it is a less ideal time to take money out of investments, if possible, it is one of the reasons we always encourage you to have a good cash buffer. If you need money out then please speak to your adviser about options.

PENSION CHANGES

You may already be aware of the headline changes announced in the October budget, however we are still awaiting the policy detail that will form the basis of our advice in this area. Expectations are this will be published as late as July, of course, once we know more we will speak to you about the individual impact.

Pension funding remains the most tax efficient way to save for retirement and even with the prospective changes, for most people, it is the best way to invest available.

LONDON MARATHON TRAINING

Firstly, many thanks to those of you have supported me & my charity the NSPCC. I really appreciate it. My race number will be 61191 and can be tracked online.

As I plodded around over the last week it occurred to me that running a marathon is a good analogy for what we are going through with Trump. If you take each mile as a year and equate that to your investing journey. The current situation is the first 100 metres, you might still be behind the person who sprinted off in front of you after the first mile or two, but it is highly unlikely they will still be ahead at the finish. Do not worry too much, the current situation will not last forever.

Paul Richardson BA (Hons), FPFS, Cert SMP
Chartered Financial Planner
​Head of Financial Planning

Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 9th April 2025. You are recommended to seek competent professional advice before taking any action.

This year has been characterised with positive outcomes for the equity markets. Inflation has largely reduced to near target levels and companies demonstrated resilient growth and improving corporate profits.** That said, this year hasn’t been without its pockets of volatility and spooked markets.

These positive outcomes helped central banks to initiate a global interest rate cutting cycle in the latter half of the year. The European Central Bank was the first to start the cycle with two 0.5% interest rate reductions. The Bank of England remained more cautious with a cut – pause – cut approach with high wage growth remaining a concern.  In the US, the Federal Reserve started later than Europe and the UK but did so with a more aggressive initial 0.50% cut followed with a further 0.25% cut in November. The Bank of Japan has been an outlier, having raised rates by 0.25% in July.

Artificial Intelligence (AI) has also been an incredible driver of returns for the US markets with NVIDIA achieving such capital size it now represents nearly 5% of the MSCI World Index alone! It is expected by many fund houses that AI will continue to fuel growth but instead of just concentrating on the main players now, there will be a ripple effect as companies incorporate AI into their businesses which will spark new opportunities and improvements in productivity and efficiencies.++

Economies outside of the US haven’t been able to achieve the combination of strong growth alongside reduced inflation. Low levels of productivity growth and a weak manufacturing sector have dampened a rebound for Europe where economies largely remain “in the slow lane” **. This does mean that valuations for European equities are cheaper which could offer attractive opportunities for investors who are willing to remain in the markets for the longer term.

The UK has managed subdued GDP growth and the UK Consumer Price Index has moved closer to the Bank of England target of 2% but, as mentioned above, high wage growth has meant the BoE have been more cautious overall.

This, with mixed messages from the newly formed Labour Government about the state of the UK balance sheet,  has stifled consumer and corporate demand which resulted in a stuttering UK stock market with corporate earnings struggling to gain any positive momentum.++ 

Fixed Interest

Bond markets have been turbulent as rate expectations have swung violently over the course of the last 12 months. At the end of 2023, markets were optimistically predicting an avalanche of rate cuts but this quickly swung to maximum pessimism in early 2024.

As we’ve approached the end of this year, markets have priced out a number of rate cuts believing that higher deficits and government spending are more inflationary – leading to central banks being more cautious to cut rates. ++

There are two sides to bonds however and current yields still look appealing for the asset class.  The broad view is that this will continue to be the case going forward – for both government and corporate bonds.

Geopolitics and risk

We have to continue to recognize the ongoing war between Russia and Ukraine as well as the humanitarian crisis which is spreading through the Middle East with no obvious end in sight. Investors are still concerned over the secondary issues of commodity prices and how these may effect inflation going forward but first and foremost recognize the devasting impact the conflicts have on those societies both now and for future generations.  

Politics can create another source of concern for markets. Much of the world went to the polls this year and the majority of those elections saw the incumbents lose. This can be seen as an indicator that the electorate aren’t as buoyant or resilient as the markets and tried to change governments to do something about it.

The US was by far the most prominent election with the re-election of Donald Trump. We at Fairey Associates recognise has been a concern for some of you since the election result in November so lets address the elephant in the room as best we can.

What could Donald Trump’s re-election mean for global markets?

The US elections in November have given the Republican party a clean sweep of the Presidency and both houses of congress.  The initial reaction was a surge in stock prices with expectations of a higher growth economy, lower corporation taxes and deregulation. ++

The truth is, we are very much in a period of wait and see as to how many of the promises made on the campaign trail end up being implemented – either in full or scaled down versions. Realistically the Trump administration won’t be able to implement everything promised on day one (or even one year) and it will take some time to work through congress – even with both houses under republican control.

That said, many fund houses are expecting for some tariffs to be implemented (mainly against those regions where US has a high trade deficit such as China and Mexico). Add in the other themes of onshoring of manufacturing, reducing immigration (which will increase the labour costs in the newly created onshore manufacturing plants) and increasing debt ceilings this means that renewed inflation is seen as a very real risk – but to what degree is still speculative.

What does this mean for our portfolios? 

The Fairey Associates Investment Committee are confident that our portfolios are in a strong position to capture the upside in the markets where growth is still forecast by using diversification across a range of regions globally both via equities and fixed interest holdings.

Fund houses are forecasting overall growth globally although some regions are thought to have greater growth prospects than others. As has now become the new normal, continued volatility in the markets is inevitable as new governments implement their policies and markets react – with or without favour.


References
** HSBC 2025 Outlook
++ Royal London Asset Management 2025 Outlook

Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 2nd January 2024. You are recommended to seek competent professional advice before taking any action.

So after months of speculation the much anticipated and dreaded first budget of the new Labour government has been delivered.

There is much to discuss, but our initial thoughts:

• The pain was overstated, it could have been much worse
• There is little that needs immediate urgent attention and therefore we will pick up these new rules at review.
• The devil is often in the detail, we will take our time to digest this information when available.

Below are the particular areas that directly affect where we advise. Changes to Income Tax, National Insurance & beer duty are sure to be covered elsewhere.

Pensions

After all the speculation the only announcement was that Inherited Pensions will come into the estate for Inheritance Tax purposes. This is from 2027 and the detail will be eagerly awaited by the industry. We will communicate further when this is known and agreed.

There is no change to Pension Commencement Lump Sum (Tax Free Cash).

Tax relief has not been changed.

Capital Gains Tax

Capital Gains Tax had been speculated to be going up significantly. However in the end the lower rate will be raised from 10% to 18%, and the higher rate from 20% to 24%. This will match the level on selling second properties.

The £3,000 annual exempt allowance remains the same.

Inheritance Tax

Apart from the pensions above, the main changes were around Business & Agricultural relief, this effects those of you owning business assets & holding AIM shares. The changes are from 2026 so we will pick this up at your reviews.

The standard allowances (£325,000 Nil Rate Band & £175,000 Residential Nil Rate Band) remain unchanged.

Stamp Duty on Second Properties

If you own a second property, whether as a holiday home, buy to let or a share in a family property, you already have to pay additional stamp duty when purchasing a new property. This will go up to 5% overnight.

We often get asked about adding children to the ownership of the parental home. It is important to understand that this will have a significant impact upon the child when they buy their own property as the part-ownership will expose them to the additional stamp duty.

As I have said above, we will cover any issues that impact you directly at your Annual Review, however if you have any questions please contact your adviser via the normal channels.

Kind Regards

Paul Richardson
Head of Financial Planning

​
Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 16th September 2024. You are recommended to seek competent professional advice before taking any action.

Consumer Duty – prioritising your needs and providing the best outcomes for you. 31st July 2024 marked one year since the Financial Conduct Authority introduced the Consumer Duty regulations – a set of rules for financial firms to ensure they deliver good outcomes for their clients.

We’ve just completed our first annual assessment, looking back at everything that we do and making sure we’re doing the best we can.  As part of this annual assessment, we reviewed our original implementation plan, considered all the actions we took and documented our successes whilst reflecting on the four consumer outcomes highlighted by the FCA.

As part of our ongoing obligations under the regulation, every year we must review our processes and services in relation to four consumer outcomes:

• Products and services
• Price and fair value
• Consumer understanding
• Consumer support.

The impact across the industry already is extremely positive. You may have seen articles in the press regarding an FCA intervention and subsequent clamp down on GAP insurance products, ensuring they are fit for purpose and offering good value to insurance customers. The Consumer Duty has also forced providers who deal in cash savings to look at their response times to base rate increases and has even encouraged a turnaround on the historical business model of a large financial advice firm with regards to their bundled charging structure and exit penalties. It’s not only about cost saving for customers and clients but also about transparency and offering consumers value in the products and services available. As the FCA say ‘This is just the beginning of the journey, not the end’.

At Fairey Associates Ltd, we have welcomed this new regulation and are optimistic about the learning opportunities it will bring in its early years of development across the industry. We pride ourselves on always keeping our clients’ best interests at the very core of all we do, as we always have, and look forward to learning new ways to improve on our services.

Your feedback is of great value to us, after all – nobody can tell us how well we treat our clients like our clients can! Feedback from our annual engagement survey and client satisfaction questionnaires help us ensure our focus is on the right areas. We echo the statement made by the FCA and understand that this is an ongoing obligation to you, to continue to offer you excellent services providing excellent value.

A year on from our acquisition of TRIP, and taking all of the Consumer Duty needs on board, we have decided that now is the time to close TRIP as a standalone business, which involves de-authorising TRIP with the FCA. This deal brought all clients and staff of TRIP over to Fairey Associates Ltd and we have all been working hard together over the last year to ensure the transition is as seamless as possible for all involved. If you were a TRIP client, you’ve probably by now been introduced to your new adviser at Fairey Associates, but if you are yet to meet your new IFA, rest assured this will be happening very soon and we look forward to meeting with you in person. The familiar faces, voices and names from TRIP are very much a part of the Fairey Associates Ltd team now, strengthening our business both in expertise and location.

If you have any questions at all regarding all of this, please do contact us, where either your IFA or one of the support team will be happy to talk to you.

We look forward to seeing you soon! 

Risk Warnings

• The value of an investment and the income from it could go down as well as up.
• All investing is subject to risk, including the possible loss of the money you invest.
• Past performance is not a reliable indicator of future results.
• Diversification does not ensure a profit or protect against a loss.
• Please remember that all investments involve some risk. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income
• This communication is for general information only and is not intended to be individual advice. It represents our understanding of law and HM Revenue & Customs practice as at 16th September 2024. You are recommended to seek competent professional advice before taking any action.