The UK government has spelled out a series of reforms which it says will boost long-term savings for retail investors, and enhance the UK's financial sector. There are likely to be knock-on effects on HNW clients and advisors as well.

While facing criticism for tax changes on wealthy individuals in the UK, Chancellor of the Exchequer Rachel Reeves sought to regain political initiative this week. The government has unveiled a programme to revive the country’s retail investment culture.

Speaking in London’s Mansion House yesterday evening about the “Leeds” Reforms – with details published by the government on the same day – Reeves said she wants to promote long-term equity investing and cut bureaucratic red tape. 

Wealth management industry figures reacted cautiously to the package of measures, which include allowing Long Term Asset Funds – designed for assets such as private equity – to be held within retail sector Individuals Savings Accounts (ISAs). For some time, the sector has wrestled with finding ways to widen access to private markets while avoiding the risk of retail investors not understanding the possible dangers of illiquidity. (The topic of widening market access is a global one, and controversial.)

According to the text issued by the government yesterday about the Leeds Reforms, the UK has “the lowest level of retail investment among G7 countries, meaning savers are not getting the best bang for their buck and UK businesses are starved of an important source of capital.” 

“Stocks and shares have performed significantly better than cash savings accounts in recent decades. According to some industry estimates, more than 29 million adults across the UK have cash sitting in a low-interest rate account offering around 1 per cent – while the average return for stocks and shares over the last 10 years is around 9 per cent. If those savers invested £2,000 ($2,680) today, they could have £12,000 in 20 years’ time. This compares to £2,700 if they held this money in a cash account offering 1.5 per cent at the current interest rate, making them over £9,000 better off,” document said. 

While much of the reform is targeted at mass retail savers, the implications extend into the high net worth sphere and the broader wealth management industry.

“At the heart of the issue is a deep under-utilisation of capital,” the government said.

One plank of the changes is a public “investment awareness campaign.” From April 2026, the Financial Conduct Authority will launch “Targeted Support,” enabling financial firms to guide customers holding excessive cash into more suitable investment options. 

Financial services firms backing the campaign are Barclays, NatWest, HSBC, Lloyds Banking Group, AJ Bell, Hargreaves Lansdown, Vanguard, Freetrade, Octopus Money, Robinhood UK, Trading 212, St James’s Place, Interactive Investor, Schroders and the London Stock Exchange.

“The government’s announcement to launch a new retail investing campaign will further support the UK to become a nation of investors,” Sasha Wiggins, CEO, Barclays Private Bank and Wealth Management, Barclays, said in a comment emailed to WealthBriefing. “We are ready as an industry to support these developments and must now focus on two things. First, readiness – making sure that savers have the right education and support to make informed decisions. And second, confidence – giving people the ability to assess and act on investment risk. It is by deepening understanding of investment risk that we can make sure it is no longer a warning sign that means investors stop before they have even begun."  

The speech comes as the Labour-led administration faces criticism over its tax policy stance, widely blamed for contributing to an exodus of HNW individuals from the UK. 

Beyond investment incentives, the government said it is pursuing a wider deregulatory agenda aimed at making the UK more attractive for international financial services. A new concierge service within the Office for Investment will offer tailored support to global firms from regional hubs including Edinburgh (asset management), Leeds (fintech), and Norwich (insurance).

At the regulatory level, reforms to the Senior Managers & Certification Regime and the Consumer Duty rules aim to reduce compliance costs and avoid overreach into wholesale business models. The Financial Ombudsman Service is being repositioned to return to its core role as an impartial dispute resolution mechanism, addressing a long-standing grievance among financial firms, it said.

“We welcome the government’s commitment to simpler, stabler and more predictable regulation at the heart of its new Financial Services Growth & Competitiveness Strategy,” Liz Field, chief executive at PIMFA, the Personal Investment Management and Financial Advice Association, said in an emailed statement. “In a recent report we published alongside UK Finance and KPMG, senior stakeholders across private banking and wealth management consistently highlighted the need for this to happen, to unlock the sector's enormous growth potential.

"Alongside the commitment to reducing the regulatory burden, we are pleased to see a focus on enhancing consumer confidence, as well as helping more people move from cash savings into long-term investments, areas where our sector plays a vital role,” Field added.