View more on these topics

Advisers shunned as DIY pension withdrawals highest since freedoms

File image of a pension savings potFewer pensioners are seeking help from advisers before taking their whole pot, latest FCA figures show.

For both full-cash withdrawals and annuities, the proportion sold with advice has fallen to its lowest level since the quarter after the pension freedoms.

The FCA published its latest data into trends in the retirement income market this morning, showing the majority of people who opted for both annuities and full cash withdrawals, did not seek regulated advice.

The propotion full cash withdrawals that were advised fell from 38 per cent to 25 per cent.

Only 28 per cent of annuities sold between October 2017 and March 2018 were advised, down from 34 per cent the previous year.

However, the proportion of savers opting for guidance, such as through the government-backed guidance service Pension Wise, on their annuities increased from 17 per cent to 30 per cent.

IFAs express concerns over non-advised drawdown sales after FCA review

Most people entering drawdown for the first time did opt for advice, with around two-thirds using a regulated planner.

The regulator says it is particularly interested in monitoring non-advised drawdown sales to assess potential risks to consumers.

Recommended

MPs request update on pension dashboard progress from industry

MPs have asked the pensions technology firm Origo to update them on the progress an industry-only dashboard is making amid concerns the project may lose support. In a letter MP and pensions select committee chair Frank Field says the committee believes the pensions dashboard will be a vital tool for informing and engaging savers. But he […]

Robo-adviser tries to poach UBS clients with fee deal

A new robo-adviser is looking to win over customers of  former competitor UBS SmartWealth with a discounted fee deal. UBS announced last week that its SmartWealth digital investment service would close to new clients and the technology sold to US robo-advisor SigFig. Tiller, a fresh entrant to the UK robo-advice market, is now trying to […]

4

FOS orders compensation over Sipp delay by Mattioli Woods

The Financial Ombudsman Service has decided that Mattioli Woods must pay compensation over a botched Sipp administration which resulted in delays to a transfer, but does not have to pay back some of the fees it charged. Despite an initial ruling in his favour, a client said the FOS adjudicator had calculated redress unfairly, and […]

Tom Hegarty: The gold standard in paraplanning

Paraplanning is a relatively recent function within advice firms. Such roles did not really exist 20 years ago, as most advisers would tend to carry out all planning aspects themselves, including their research, technical analysis and suitability processes. But thanks to regulation becoming more challenging, advisers have realised that separating the client-facing and non-client-facing processes […]

Lessons to be learnt

DFM masterclass: markets, strategy and asset allocation

Watch Nick Georgiadis, Head of DFM, discuss asset allocation and investment strategy on Asset TV’s DFM masterclass. In this masterclass on discretionary fund management, a panel of industry experts discuss their views on the current market, inflation figures, investment strategies, asset allocation and what they will be focusing on when managing portfolios over the next […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 5 comments at the moment, we would love to hear your opinion too.

  1. David Brocklebank 6th September 2018 at 4:51 pm

    It is really depressing to read so many articles on this and other media sites containing basic spelling and grammatical errors (para 2).
    Try spellcheck, or ask your editor, if there is such a person anymore.

  2. 2040 headline; Pensioners who shunned advisers are now mostly broke and will be relying on the Govt state pension of £255 per week, when they are 95 years old

    • Quite. For those of us who are plenty busy looking after the affairs of clients who do recognise the value of our services, why should we care about those who don’t? That said, I still think that legislation allowing people to do stupid things with their pension funds without taking advice was and is a decidedly bad idea.

  3. Its hardly surprising that advisers don’t get involved in full cash withdrawal.

    However, its not really news without details of average pot size. I’m sure the majority are tiny and therefore advice is going to make precious little difference. Although that’s presumptuous, much like some of the above comments

Leave a comment

Close

Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm

Email: customerservices@moneymarketing.com