Personal Touch Financial Services last week revealed it is hiking its monthly fees for appointed representatives following a radical overhaul of its fee structure.
Under the current structure, IFA firms pay a flat monthly fee of £310 while mortgage, protection, equity release and private medical insurance adviser firms pay £125 a month.
From 1 November, all PTFS ARs will pay a monthly fee for the firm plus additional fees for PI and FSA fees for each individual adviser.
Firms will be charged £265 a month, which includes £200 for member services and £65 for professional indemnity insurance.
Firms will be charged £102 a month for each individual mortgage, protection, equity release and PMI broker and £911 for each adviser that offers investment, pension, mortgage and protection advice.
A PTFS spokeswoman says: “This is our first fee review for nearly three years and despite the rapidly increasing cost of regulation, the changes ensure we remain highly competitive.”
Which Network director Gary Watts says: “I think PTFS will lose a significant number of advisers because of this hike.”