Long memories are a good thing in general, because when the Tenet announcement happened this week (June 5), I recalled that, some years ago, Tenet had been vocal about rescuing advisers from failed network Honister.
The days of print titles are long gone, and the archives in the bowels of the FT is the sort of place Indiana Jones would love to linger, but thanks to the internet there is a host of content from Financial Adviser dating back to June 2012, talking about the demise of Honister.
I remember it well - 900 advisers left high and dry, no idea where they will get the necessary professional indemnity cover to allow them to continue advising in accordance with the then FSA rules, and concerns over access to their remuneration in the form of commissions and outstanding payments.
At the time, an FOIA from FT Adviser showed that the FSA had approved 606 applications for “approved persons” status from ex-Honister advisers, was considering 13 and seven advisers have withdrawn their applications, leaving 274 of the 900 advisers unaccounted for as at January 2013.
I also remember the former Tenet group distribution and development director, Keith Richards, talking to Financial Adviser about how the network was pledging to rescue as many Honister advisers as it could.
In the end, as our archive shows, Tenet provided a home for 180 Honister advisers, enabling them to continue serving their clients.
At the time, Honister's chief executive Coleman Moher and the administrators, Grant Thornton, issued a statement saying that PI issues were the reason for Honister's demise.
It said: "Over the past few years, PI insurance costs have increased to unsustainable levels, driven mainly by large claims relating to historic business and, to a lesser extent, wider industry issues".
But Honister's demise also forced the temporary closure of many of its more than 900 self-employed financial advisers, many of whom had come via old networks such as Burns Anderson and Sage Financial Services, and represented 328 financial advice firms across the UK.
Now, Tenet's administration 12 years on cannot be attributed to PI issues. Over recent years, FT Adviser has reported on dwindling membership numbers at the network, as well as ongoing issues over tech and personnel changes.
For example, in March 2023 the group announced that chief executive Mark Scanlon and chief financial officer Martin Tyler would leave the business with immediate effect.
Tenet Group then appointed Helen Ball as chief executive to take over from Scanlon. Eventually, the group, which is owned by Aviva, Abrdn and Aegon, decided to close its network after a strategic review.
Many of the original ex-Honister advisers may have left in the recent exodus; but for those who remained - particularly those who may have previously been at Sage or Burns Anderson before Honister brought those under its umbrella - this latest news is going to open up some pretty old wounds.
