St James’s Place (SJP), the United Kingdom’s largest wealth management firm, has acknowledged erroneously charging hundreds of clients twice on their investments, primarily involving international bonds. The company has initiated refunds for those affected and expects to complete reimbursement by the end of September.

The overcharging issue came to light earlier this year when some advisers within the SJP network were informed that their clients had incurred duplicate fees. A spokesman for SJP confirmed the problem and stated the firm had resolved the matter, with most customers already reimbursed and the remainder scheduled to receive refunds shortly.

SJP’s fee structure has long attracted criticism for its comparatively high costs. The firm charges an upfront advice fee of 3% on the first £250,000 invested, plus an ongoing charge of 0.8%. In contrast, competitors like Hargreaves Lansdown levy lower fees, typically charging 1.5% on investments up to £1 million. Additional product fees apply for various investment types, including ISAs, funds, unit trusts, investment bonds, and pensions. Industry experts estimate the average ongoing annual cost through an SJP adviser to be around 1.67%.

The company manages approximately £220 billion in client assets and serves over one million customers through nearly 5,000 advisers nationwide. Despite this scale, SJP reported a 28.4% decline in net inflows for the first half of 2026, with £2.7 billion attracted compared to £3.8 billion during the same period in 2025.

This recent fee duplication incident adds to a series of challenges the FTSE 100-listed firm has faced in recent years. In 2025, it introduced a revised charging structure after discontinuing its previously controversial exit fee, which had imposed charges of up to 6% for early withdrawals, restricting client flexibility.

The restructuring segmented charges into separate advice, product, and fund fees, replacing the former bundled approach that had obscured the total cost for clients. The move followed scrutiny from the Financial Conduct Authority (FCA), which highlighted concerns over the value clients received for ongoing advisory fees under new consumer duty regulations introduced in 2023.

In 2024, SJP’s chief executive, Mark FitzPatrick, issued an apology after the firm was found to have overcharged customers for advisory services they did not receive. Initially, the company allocated £426 million to compensate thousands of affected clients, a figure later reduced to £320 million. This episode significantly impacted SJP’s share price, which dropped by 31%.

More recently, former advisers have initiated legal proceedings alleging that SJP failed to provide adequate compensation after allegedly taking their business. In its latest interim financial results, SJP announced a further reduction in its compensation provision, which now stands at £110 million, down from £320 million the previous year. The company has reclaimed £110.4 million in funds, directing £82.8 million of this amount toward a share buyback program.

SJP stated that the release of this provision would benefit shareholders directly, with the board opting to return the after-tax proceeds through the buyback initiative.