View more on these topics

Over 55s unconvinced by Osborne’s pension freedoms


Fewer than half of over 55s are convinced George Osborne’s pension freedom reforms are a good thing, new research suggests.

An online survey commissioned by the Institute and Faculty of Actuaries quizzed 1,408 people aged 55 or over, but found the British public remains divided on the landmark reforms.

Just 44 per cent said the changes were either a fairly good or very good thing, while 29 per cent said the opposite. The remainder said the reforms were either neutral or that they didn’t know.

Scepticism was strongest among those aged over 65, where just one-in-three said the freedoms were positive, compared to roughly half of those aged 55-64.

While the survey found that almost three quarters of savers were aware of the changes, it also indicated widespread confusion about the distinction between guidance and advice.

Some 45 per cent of over 55s said they didn’t understand the difference between the two.

When split by social status, 62 per cent of middle class respondents said they were confident of their understanding, compared to just 44 per cent of those from the working class.

IFoA president Fiona Morrison says: “There is some good news in the findings, with a high proportion of respondents being aware of the freedoms.

“However this knowledge doesn’t appear to follow through to their understanding of the difference between the guidance that is provided through the Government’s Pension Wise service and regulated financial advice.”



ABI: £6bn withdrawn since pension freedoms launch

Savers have withdrawn £5.9bn since the pension freedom reforms came into force, according to the Association of British Insurers. The new data, which covers the first nine months of the reforms, reveals £3bn has released through 213,000 lump-sum payments, with an average payment of £14,800. The trade body adds £2.9bn was taken through 835,900 income […]


Land of the free? The complexities that risk undermining Osborne’s Lifetime Isa

George Osborne’s Lifetime Isa has been hailed both as a boost to the saving prospects of the young and self-employed, while also signalling the destruction of the pension as we know it. Experts warn specialist automatic enrolment providers’ business models are under threat as young people disregard financial common sense in favour of unrivalled flexibility. […]


Richard Freeman: Reforming irrational FSCS levy will boost advice

Proposed reforms to the Financial Services Compensation Scheme levy could have a lasting impact on the financial planning industry. The devil is in the detail as they say, but recommendations put forward in the Financial Advice Market Review final report could make a real difference to firms. The paper suggests the introduction of a risk-based […]

InFocus - thumbnail

In Focus — February 2015

Jelf Employee Benefits looks at the issue of paying anaesthetist fees when the patient had no chance to discuss or agree to them prior to care; and provides recommendations for avoiding this scenario.


News and expert analysis straight to your inbox

Sign up


There are 2 comments at the moment, we would love to hear your opinion too.

  1. This is news? Just look at what I have been saying ever since this scam was first mooted by that spiv Osborne.

  2. Meanwhile, 100% of financial advisers understand that 62 per cent of middle class and 44 per cent of working class respondents are misguidedly over-confident about their understanding of pension freedoms.

Leave a comment


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