Less than half of financial advisers believe Take The Next Step investment campaign can achieve its desired impact

• The high cost of living, a distrust of financial markets and a lack of investment knowledge could be key barriers to success
• But three quarters of advisers agree the campaign can positively influence future investor behaviour

Only 42% of UK financial advisers believe Take The Next Step, the investment campaign launched by HM Treasury and city heavyweights in April, will have the impact the government wants it to have. These are the findings of Flagstone’s latest poll of UK financial advisers.

Key findings

• 45% of advisers believe the Take The Next Step campaign will have the impact the government wants ‘to an extent’. No advisers believe the impact of the campaign will ‘significantly’ meet government aspirations.

• 33% of advisers say that the campaign will fail to have the sort of impact the government would like to see, and a further 20% say it is too early to tell.

Asked what the biggest barriers to the campaign’s successes might be:

• 47% of advisers believe the cost of living means that people can’t afford to invest

• 42% believe a lack of trust in financial markets will deter people from giving it a go

• 39% say people’s lack of understanding of how investing works will be a deterrent

• And 26% say timing is not on the campaign’s side, having been launched while markets are extremely volatile.

Despite scepticism over the ability of the campaign to reach its full potential, the majority (76%) of advisers believe that campaigns like Take The Next Step can positively influence investor behaviour. However, a quarter (26%) of these advisers warn that this campaign will only alter investor behaviour alongside wider policy changes, such as tax or access to advice.

John Martin, CPO at Flagstone, comments: ‘While advisers agree that the cost of living crisis is the key reason this campaign may struggle to achieve its potential, it’s fascinating to see that high proportions of advisers also believe that a lack of trust in markets and a lack of understanding will be key barriers to success. These are critical knowledge-based obstacles that advisers can unlock for potential new investors. How well this campaign works with advisers to empower them to promote a healthy approach to diversified cash and investment management will be fundamental to its success.’

Asked what will be the biggest success signals of this new retail investment campaign:

• 65% of advisers say seeing more first time investors enter the market

• 45% say seeing more people seek financial advice

• For 33% it’s seeing improved understanding among investors of risk and reward

• And 28% say seeing more people make more regular (e.g. monthly) investments

John Martin: ‘There is strong positivity among advisers that a successful campaign will inspire more people to seek their advice. It would be encouraging to see more regular investing too. This would indicate a significant attitudinal shift among new or emerging investors, from looking at investing as something to do occasionally to seeing it as an ongoing part of their financial planning.

“For many people, that journey won’t start with investing. It will start with understanding what to do with their cash savings and building confidence in financial decision-making more broadly. Advice has an important role to play in both. The more consumers understand how to make their money work harder, whether through cash or investments, the more likely they are to engage with longer-term financial planning.”

Advisers’ independent perspectives: 

Tim Morris, IFA at Russell & Co Financial Advisers: ‘The majority of people who don’t invest have either had a bad experience, or will say they can’t afford to. In reality, nearly everyone can. It’s just about learning how it works and getting into a good habit of regular investments, however small they need to be to ensure you’re only risking what you can afford. The sooner the better too – I’ve seen many clients paying just £50 a month into a personal pension for all their working life and enjoying a fund value in excess of what they ever imagined it would be worth.’

Adam Rutter, Chartered Financial Planner at Thorntons Wealth: ‘Once clients have the investment process explained to them and understand that their financial planner has their interests as a priority, their mindset around investing changes and they can buy into the idea. The cost of living is high, but there are still clients with excess funds to invest after mutual trust is gained. If we see more first-time investors enter the market and make regular investments, the campaign will have succeeded in its aim. It’ll demonstrate that people with excess cash savings are learning how to proceed and who to contact for advice, as well as they have trust in the system.’

Notes

* Survey of UK financial advisers by Flagstone, May 2026