Four
years ago, George Osborne introduced pensions freedom and choice, which turned
the retirement savings market on its head. Given the pace of change, it is
hardly surprising that there would be a number of issues emerging, which eventually
would result in regulatory intervention by the Financial Conduct Authority
(FCA). Amongst other things, the FCA has found consumers sticking with their
existing provider, seemingly unwilling, or more likely, not knowing that they
can switch their provider, in order to obtain better results. Weak competitive
pressure and low levels of engagement with independent advisers are particularly
acute in the non-advised Drawdown market and the regulator is rightly focussing
on a package of measures to help address this.
To illustrate the point, 94% of consumers who access their pension pots without taking financial advice accept the Drawdown option offered by their existing pension provider, compared to only 35% of advised customers*. This illustrates the huge potential benefits people can receive from seeking independent advice.
To illustrate the point, 94% of consumers who access their pension pots without taking financial advice accept the Drawdown option offered by their existing pension provider, compared to only 35% of advised customers*. This illustrates the huge potential benefits people can receive from seeking independent advice.
Come
to the experts – enquiries@pipllp.co.uk or visit our website www.pipllp.co.uk or
telephone us on 0113 202 9529.
