Statehouse Financial Management, a UK-based financial planner, has adopted Sanlam UK’s hybrid advice model, meaning that it will primarily offer products and services from companies operating under the Sanlam UK umbrella.

But Statehouse still has the right to look to the whole of market if Sanlam’s offering does not meet the client’s needs, the firms said.

Sanlam UK, part of South African group Sanlam, said that it is in discussions with more IFA firms and expects to make further announcements soon. It launched the hybrid advice model at Sanlam Private Wealth, its own financial planning firm, last year.

The deal forms part of the trend of smaller IFAs teaming up with larger companies in the run-up to the implementation of the UK regulator's Retail Distribution Review reforms at the start of 2013, which will bring in new charging regulations and raise mandatory qualification standards.

“The Retail Distribution Review is going to be the biggest shake-up in our industry since the Financial Services Act itself,” Nigel Speirs, head of distribution at Sanlam UK, said in a statement.

Statehouse, with six advisors, also has an in-house accountancy practice and provides business consultancy to other financial services firms.