St James's Place reviewing fees; shares tank

St James's Place shares plunged after the wealth manager confirmed it is reviewing its fees and charges structure for clients to comply with new consumer duty rules that took effect over the summer.

The company had said in its half-year report in July that it was "building on the work it completed for the Consumer Duty".

Responding to press speculation on Friday, it said: "This programme includes an assessment of our fees and charging models to ensure we operate with a simple and scalable charging platform for the long term.

"Whilst the evaluation has not yet been completed and therefore no decision has been made, we are confident that all the options under consideration will ensure value for clients and a strong, secure, and sustainable business for all stakeholders. We naturally continue to engage with all of our primary regulators during this process."

St James’s Place said it will update the market as any decisions are made.

The statement came after the Financial Times reported on Thursday that the firm was being pressured by regulators to overhaul its fee structure.

At 1005 BST, the shares were down 15.3% at 693.80p.