Financial Resilience 2025: Unlocking Three High-Value Client Segments for Financial Advisers

The latest research from Royal London reveals a stark reality: whilst fewer adults now describe themselves in financial crisis, the foundations of Britain’s financial resilience remain alarmingly fragile. For forward-thinking financial advisory practices, this presents an unprecedented opportunity to serve underserved markets and build sustainable growth.

The Scale of Opportunity: Significant Advice Gap Persists

Royal London’s comprehensive 2025 Financial Resilience Report, surveying over 4,000 UK adults, confirms what progressive advisers already recognise: financial pressure remains elevated across all demographics. Despite slight improvements in inflation and interest rates, one in five adults have less than £100 in savings, and 43% admit their retirement plans have been disrupted.

Most significantly for advisory practices, the research identifies three distinct client segments where demand for professional guidance far exceeds supply—presenting clear opportunities for firms with strategic client communication approaches and targeted lead generation campaigns.

Segment One: The Mid-Life Squeeze (Ages 30-49)

The Hidden Crisis Among High Earners

Perhaps the most surprising finding concerns mid-lifers—those aged 30-49 who, despite earning above-average incomes (£39,354 annually), show the most severe signs of financial distress. This demographic represents a significant untapped market:

Key Market Indicators:

• Only 23% have ever taken financial advice
• Just 5% maintain an ongoing advisory relationship
• 16% describe themselves as being in or near financial crisis
• 13% are overdrawn at month-end despite higher incomes
• Lowest cash savings of all age groups (£10,278 average)

The Opportunity: Mid-lifers are focusing on immediate career and family demands whilst neglecting long-term financial planning. They have spending power but lack financial structure. Advisory practices with comprehensive client journey mapping can demonstrate clear value propositions around financial organisation and future planning.

Marketing Positioning: “Mid-Life Financial Health Check” services that address both immediate cash flow management and long-term wealth building strategies.

Segment Two: The Solo Living Premium

Single-Person Households Face Unique Vulnerabilities

Britain’s growing single-adult demographic (representing 30% of households) faces distinct financial challenges that traditional advisory models often overlook:

Market Profile:

• More likely to rent (39% vs 13% of married couples)
• Lower average savings (£12,144 vs £19,070 for married individuals)
• 24% have no savings at all
• Higher living costs with single-income dependency
• Only 40% have considered retirement needs in the last 12 months

The Advisory Gap: This expanding demographic is systematically underserved by financial services, yet represents stable, long-term client relationships for firms that understand their specific needs.

Strategic Approach: Develop personalised client education programmes that address the unique challenges of single-income financial planning, including enhanced emergency fund strategies and tailored pension contribution approaches.

Segment Three: Higher-Income Households with Hidden Fragility

The £50,000-£150,000 Vulnerability Zone

Counter-intuitively, households earning between £50,000-£150,000 annually demonstrate concerning financial behaviours despite their apparent affluence:

Risk Indicators:

• 22% prioritise debt repayment over savings
• 35% unwilling to reduce living standards to save more
• 33% cite high bills as barriers to increased savings
• Despite higher incomes, many lack comprehensive financial strategies

The Paradox: Higher earners often assume their income level provides automatic financial security. However, lifestyle inflation and debt accumulation can create significant vulnerabilities.

Advisory Opportunity: These clients need sophisticated analytics and reporting to understand their true financial position and structured approaches to optimise their higher earnings for long-term wealth creation.

Transforming Research Insights into Marketing Strategies

Demographic-Specific Campaigns

Successful advisory practices are leveraging these insights through targeted content creation and strategic brand positioning:

Mid-Life Targeting:

• “Financial Reality Check” workshops addressing the gap between income and financial security
• Content focusing on optimising the peak earning years (ages 35-50)
• Interactive calculators demonstrating the long-term impact of immediate financial decisions

Solo-Living Specialisation:

• “Single & Secure” financial planning services
• Educational content about the “solo living premium” and mitigation strategies
• Referral programmes recognising that single clients often have strong professional networks

High-Earner Engagement:

• “Earning Well, Planning Better” positioning that addresses lifestyle inflation
• Comprehensive financial MOTs that reveal hidden vulnerabilities
• Video marketing demonstrating sophisticated planning strategies

The Client Experience Advantage

Research indicates that whilst these demographics recognise their financial vulnerabilities, they struggle to engage with traditional advisory models. Progressive firms are differentiating themselves through enhanced client experience strategies that address specific demographic needs:

• Flexible engagement models for time-pressured mid-lifers
• Technology-enabled solutions appealing to single professionals
• Comprehensive reporting satisfying higher earners’ desire for detailed analysis

Implementation: From Insight to Growth

Step 1: Market Analysis and Positioning

Begin with thorough market research to understand which of these segments represents the greatest opportunity within your geographic area and service capability.

Step 2: Service Development

Develop specific service propositions for each target segment, supported by client feedback mechanisms to ensure market fit.

Step 3: Content and Communication Strategy

Create comprehensive content strategies that speak directly to each segment’s unique challenges and decision-making processes.

Step 4: Lead Generation and Conversion

Implement targeted lead generation campaigns combined with strategic event marketing to build awareness and demonstrate expertise.

The Competitive Advantage: Acting on Unmet Demand

The Royal London research reveals a critical market inefficiency: demonstrated client need exists alongside limited advisory engagement. For practices willing to develop segment-specific approaches, this represents a significant competitive advantage.

Key Success Factors:

• Understanding demographic-specific financial stressors
• Developing appropriate service delivery models
• Creating compelling content that resonates with target segments
• Building systematic approaches to client advocacy and testimonials

Looking Forward: Building Resilient Practices

As the research concludes, “many people still lack financial security and continue to focus on covering day-to-day expenses rather than longer-term savings and investments.” This reality creates both challenge and opportunity for advisory practices.

Firms that successfully position themselves as solutions to these specific demographic challenges—supported by robust client journey mapping and effective communication training—will build sustainable competitive advantages whilst genuinely improving their clients’ financial outcomes.

The advice gap persists not due to lack of demand, but due to misalignment between traditional advisory approaches and evolving client needs. Progressive practices that adapt their positioning, services, and communication strategies to these insights will capture disproportionate market share in an increasingly competitive landscape.

The complete Royal London Financial Resilience Report 2025 provides detailed demographic analysis and market insights. Advisory practices seeking to develop targeted strategies for these underserved segments can benefit from comprehensive strategic planning support and implementation guidance.