A major new consumer financial survey has revealed that 24.6m people in the UK have never taken financial advice or guidance with 11m saying ‘perceived barriers’ deter them from seeking advice.

One in three people (33%) believe financial advice is not relevant to them, according to the survey, with others being unaware of the benefits or they do not believe now is the right time to take advice

Despite the consumer reluctance to take advice of those who have received financial advice or guidance, 84% say they benefitted “mentally or emotionally.”

The survey of nearly 12,000 people has been conducted by wealth manager St James’s Place for its SJP’s Real Life Advice Report.

SJP says it wants more action to “break down the barriers” to financial advice of all forms including action taken to close the gap between guidance and full holistic advice and more advisers trained to combat stagnant numbers of IFAs.

According to the survey, those who have taken regulated financial advice say it has improved their mental wellbeing, given them better financial resilience and improved their quality of life.

However many shun the idea of taking advice. The biggest barrier to seeking advice is the view that it is “not for people like me,” the survey found. This view prevents up to 11m people in the UK from seeking support, according to SJP.

SJP’s Real Life Advice Report, the first chapter of which was launched this week, surveyed just under 12,000 individuals to understand how financial advice and guidance of all forms impacts individuals and families across the UK and to investigate the perceived barriers that stand in the way.

The key barriers to getting financial advice stated by consumers were:

• The relevance barrier - a third (33%) say their personal situation is too simple to require advice
• The perception barrier - Nearly 1 in 10 (8%, rising to 14% of 18-34s) have not considered financial advice because they are not aware of its potential benefits
• The timing barrier - 1 in 7 (14%) of those aged 18-34 and 1 in 20 (6%) of those over-55 believe it’s either too early or too late to take advice

Some 24.6 million people have never accessed any kind of financial advice or guidance, according to the findings.

Mark FitzPatrick, CEO of St. James’s Place, said: “Financial advice and broader guidance can transform lives, but millions are not reaping the benefits because perceived barriers are holding them back. Many believe their circumstances don’t warrant advice, they’re unaware of how it might help them, or they feel it’s too early or too late to take that leap. As a result, they’re missing out on the improved financial and emotional wellbeing advice can bring.

“Too often advice or guidance is seen as only for the two extremes: for the very wealthy or for those in financial strife. We have to come together to break down these indisputable barriers.”

SJP says its research found many respondents who had taken financial advise reported several benefits. Among those who receive financial advice or guidance in some form, more than four in five (84%) say it has benefitted them mentally or emotionally. This increases to 92% among those who receive ongoing financial advice from a qualified firm or individual: 33% feel more confident, 26% feel less stressed, and 25% feel less vulnerable.

Two thirds (65%) reported an improvement in their quality of life - rising to 75% for those who receive ongoing financial advice - with a more comfortable retirement (32%), the ability to afford larger purchases like holidays, home repairs and weddings (24%) and the ability to save more (25%) the top factors here.

The study also found that advice can have a significant impact even when people have more modest savings pots. When asked how advice has benefitted them mentally and emotionally, people with less than £20,000 in financial assets reported having a better understanding of their finances (30%) and feeling less vulnerable (24%). Meanwhile for those with higher levels of savings and assets (over £100,000) the main benefit they have experienced is feeling more confident around their financial future (38%).

SJP wants action taken to close the gap between guidance and full holistic advice with regulatory change through the Advice Guidance Boundary Review. It wants targeted support designed with consumers’ interests at heart underpinned by enhanced financial education for young people.

It also wants to see more efforts to train advisers. The number of financial advisers has remained static for the last decade, at approximately 28,000 both in 2010 and in 2024, according to FCA data, SJP says. It wants to encourage more talent from all age groups and walks of life. SJP says its own Academy  is committed to introducing hundreds of new professionals into advice every year