A no-deal Brexit may also be bad for UK financial services jobs, according to a CISI member survey.
The UK Government is currently locked in intensive talks with the EU to strike a deal before the end of of the year when existing arrangements will expire.
The majority (86%) of financial professionals surveyed said that a no-deal Brexit would have a negative impact on UK financial services jobs.
The poll by the Chartered Institute for Securities & Investment (CISI) questioned more than 1,000 respondents in July and August on what they thought the impact of a no-deal Brexit would be on jobs in UK financial services.
Concerns included the loss of passporting rights, a need to learn new laws and regulations, an increase in complaints from customers and a lack of clarity on the UK financial services' international position.
Martin Ruskin CFP Chartered MCSI, outgoing chairman of CISI Financial Planning Forum Committee and client director at Paradigm Norton Financial Planning, told Financial Planning Today that a no-deal Brexit could leave Financial Planning businesses requiring support.
He said: "As the survey results indicate, a no-deal Brexit is a threat to jobs in the broad financial services profession in the UK. The UK Financial Planning community has shown resilience in the face of challenges, including Covid-19, but the fallout of a no-deal Brexit on Financial Planning jobs specifically is difficult to speculate upon now.
"However, given many Financial Planning SMEs have undergone months of economic uncertainty and lockdown, it is not unreasonable to consider they may be justified in requiring support in trying to overcome any future barriers or bureaucracy which a new relationship with the European Union might bring.”
According to the CISI, one in 14 UK-based workers are employed in financial and related professional services.
Simon Culhane, Chartered FCSI, CISI CEO, said: “This survey demonstrates a real belief amongst our members that the financial sector is seriously going to suffer in a post Brexit world.
"For the UK, this should ring alarm bells as 1 in 14 UK-based workers (over 2.3 million people) are employed in financial and related professional services, with two-thirds outside London. So the potential for a no-deal Brexit to cause damage to jobs in the sector is huge.”