Speculation that Tilney is involved in a process for a £700m takeover of Towry is wrong, Financial Planning Today understands.

Media reports, arising from an article in the Sunday Times, have suggested a deal is being worked on to create a giant advice firm.

But sources familiar with the situation told FPT this morning that reports that Tilney was a front runner in a bid for Towry were untrue.

They poured cold water on the takeover speculation, which has been widely reported this morning.

The rumours about the two Financial Planning firms came almost exactly a year after Towry announced the deal to buy Ashcourt Rowan in a deal worth about £97 million.

The companies said combining made them a "major player in the UK private wealth market, better able to meet the needs of, and offer a broader range of services to, clients".

Towry manages or advises on over £6 billion in assets and has around 800 employees serving clients from a national network of approximately 20 offices.

Tilney, which is headquartered in Mayfair, London, looks after more than £9 billion of client assets and employs almost 400 staff across a network of offices.