The decision opens the door to ex-clients to claim compensation against the firm via the FSCS.

The firm is based in central Manchester and was first authorised by the Financial Conduct Authority in 2015.

It traded under the name Quays Wealth Management until September 2022 when it began trading under the name SQ Wealth.

It had traded under the name Cottons Financial Planning between October 2015 and April 2017.

According to the FCA register, the firm went into administration at the start of November last year and the administrators are Paul Stanley and Jason Dean Greenhalgh of Begbies Traynor.

Its director at the time of administration was Alex Burgess who was also a director at the Children’s ISA Ltd, and Cottons Commercial Property, which both operated from the same address in Salford, according to Companies House.

Its executive director until 2019 was Chartered Financial Planner Stephen Leadbetter, a member of the Chartered Insurance Institute and a Fellow of the Personal Finance Society.

The firm is the latest in a string of failed adviser firms to be declared in default this year. At least 25 advice firms have so far failed this year, according to FSCS data.

One of biggest failures this year to date has been pension transfer adviser Portal Financial Services (FRN 501272) which was declared in default by the FSCS with nearly 300 claims against it.

Portal Financial went into compulsory liquidation on 18 January following a string of complaints.