St James's Place Allocates £426m for Client Refunds Amid Soaring Complaints

The wealth manager faces a sharp decline in profits and a significant share price drop following the announcement.

St James's Place sets aside £426 million to address potential client refunds due to incomplete service evidence prior to 2021.
The move results in a 31% fall in the company's share price and a dramatic reduction in profits for 2023.
The Financial Conduct Authority's scrutiny and changes in fee structures contribute to the wealth manager's current challenges.
Dividend payments to shareholders are halved, reflecting the financial impact of the client refunds.
The company expresses confidence that the issue is historic, thanks to investments in its Salesforce CRM system.