Almost 1,000 advisers still set to miss education deadline

According to Kaplan, there are still just under 1,000 existing financial advisers who do not meet the 10-year experience exemption and still have some study to complete before the 31 December 2025 education deadline.

At the start of June, the Australian Securities and Investments Commission (ASIC) warned that more than 4,600 advisers were yet to meet the qualifications standards, with the 1 January deadline approaching.

That number hasn’t fallen much based on the most recent ASIC figures, with the regulator expressing concern at the end of September that at least 3,459 relevant providers may be unable to provide advice after 31 December 2025.

The Association of Independently Owned Financial Professionals’ (AIOFP) estimate is more in line with ASIC’s.

“With no new advisers expected to join the profession [for very obvious reasons], up to 4,000 eliminated over education confusion, and the deregistration of those who don’t give advice to avoid the CSLR levy, this scenario may incite a ‘rush to the door’ to avoid CSLR liabilities getting out of control,” AIOFP executive director Peter Johnston said in a letter sent to federal MPs last month.

“An ‘Armageddon’ scenario is quite possible for the profession during 2026.”

This would lead to a considerably higher number of advisers leaving than the Financial Advice Association Australia’s (FAAA) recent estimate of around 1,000.

“At the moment, the number that don’t qualify for either pathway look unreasonably high – over 4,000 – and we don’t think that’s the reality,” FAAA chief executive Sarah Abood said on a webinar in August.

“Our estimates are that around 1,000 advisers might be leaving at the end of this year. That’s based partly on data and partly on intention surveys that various providers have done. It’s a guess but it will be a decent dip at the end of this year.”

Existing advisers who will not complete the education requirements by 31 December 2025 must cease on the Financial Adviser Register (FAR) before the deadline and return once their studies are complete. Those who fail to do so will only be able to re-enter as a new entrant.

According to Kaplan Professional CEO Brian Knight, while time is running out for advisers that have not met the requirement, it is still “achievable”.

“We know the pressure advisers are under as the deadline approaches – that is why the Summer Intensive matters,” Knight said.

“It is a final, flexible six-week sprint to the finish line, and our team is ready to work with every adviser, whatever their situation.

“While we have confirmed with Treasury there will be no extensions, with pass rates above 90 per cent in previous intensive study periods, it is more than achievable.”

Kaplan launched the Financial Adviser Accelerator Suite in July, focusing on interactive, scenario-based modules, which Kaplan stated have no industry equivalent.

The program is structured around four “key knowledge pillars”: fundamentals of advice, client care in financial advice, client engagement in financial advice and quality processes.

Enrolments for the Summer Intensive (accelerated six-week intake) close 5 November. Anyone who enrols in this intake will be able to start as early as 27 October.

This accelerated six-week intake provides advisers an efficient, focused way to meet the deadline and complete their education requirements without compromising quality or support.

Final results for the Summer Intensive will be released on 15 December before the deadline.