Here comes the next mis-selling scandal

St James’s Place is a posh London cul-de-sac that will forever be associated with the late Jacob Rothschild, who based his financial empire there and restored the stately Spencer House across the road. One of his enterprises, J. Rothschild Assurance, was renamed St James’s Place Capital in 1997 and ended up majority owned by Lloyds Banking Group – until Lloyds sold it to stockmarket investors in 2013. Combining fund management, financial advice and life insurance, SJP (as it’s known) joined the FTSE 100 a year later.

Though its headquarters are now in Cirencester, the poshness of its name and origin helped polish SJP’s upmarket cachet. But not any more: faced with a tidal wave of complaints about opaque fee structures and poor service – accompanied by lurid tales of luxury cruises and other perks for sales staff – SJP shares have fallen by two-thirds in the past two years. The Financial Conduct Authority has been pressing for internal reform, while a £426 million provision for potential refunds to clients pushed the group into a pre-tax loss for 2023.