Sussex-based accountancy firm Spofforths has sold its IFA arm Spofforths Financial Planning (FP) to national wealth manager Bellpenny in a deal which includes client book and £100m of funds under management, split between pensions and investment business.

Philip Wise, managing director of Spofforths FP said the sale was the result of the company reviewing its services and the increasing burden of regulation.

'We have concluded that some of our clients would be better served with another company. After carrying out detailed due diligence we selected Bellpenny as the ideal solution for these clients and as our ongoing referral partner for certain services. We believe that this is the right approach for our clients and their long-term interests,' Wise said.

The acquisition of the client book from Spofforths FP is Bellpenny's third involving accountancy firms and takes overall assets under advice to £1.1bn.The deal is similar to its acquisition in May when it bought a financial planning client book from the IFA arm of accountancy firm Price Bailey. The same month Bellpenny also acquired the advice arm of accountancy firm Foot Davson.

Kevin Ronaldson, chief executive officer of Bellpenny, said: 'The acquisition adds further weight to our view that the full impact of the Retail Distribution Review (RDR) on the financial planning sector will prove to be deeper and more drawn out than many commentators first predicted. We're talking to several other professional services firms which are now rethinking their wealth management strategy as we approach the first anniversary of the RDR.'