Over half of consumers may not be prepared to pay for financial advice, according to research from the Association of British Insurers.
The ABI research asked over 2,500 people about their attitudes to financial advice.
It found a third of respondents thought full financial advice would cost up to £300, while the ABI puts the cost of a full financial advice service at an average of £670.
The trade body says the research demonstrates the need for a simplified advice model.
ABI acting director of life and savings Helen White (pictured) says: “The results of our research send us a strong message about what consumers need to fill the gap between paying for full financial advice and having none.
“For the RDR reforms to deliver good outcomes for consumers and the industry we need to both convince sceptical consumers that full advice is worth paying for and also come up with a model of simplified advice for those consumers who cannot afford or do not need full financial advice.”