Expanding Chartered Financial Planner firm Fairstone has acquired nearby North East wealth manager Chilli Financial.

The purchase is the eighth this year by Fairstone which is based in Newcastle.

Chilli Financial Limited, which specialises in wealth management, is based in Stockton.

The deal will add 400 clients, two advisers and three support staff to Fairstone. It will also add gross fee income of £600,000 plus £80m in funds under management.

Lee Hartley, CEO of Fairstone, said: “We have worked closely with Chilli over the past two years through our proprietary DBO programme and we are delighted to now complete their final acquisition.

“Finalising this deal with Chilli brings another valued business into Fairstone and continues our excellent growth plan for 2019.”

Fairstone operates from 48 locations and has 560 advisers and staff working for 59,000 clients.

Chilli Financial principal Ian Robinson said that Fairstone’s client centric focus, Chartered status and the scale of the company were the main factors in the decision to join Fairstone.

He said: “Being fully a part of one of the largest Chartered Financial Planning firms in the UK allows us to address the challenges of dealing with increasing regulatory change while at the same time continuing to deliver first class service to our clients.”