View more on these topics

Peer calls on Govt to tackle post-RDR advice gap ahead of Lords debate

House of Lords, FS bill
House of Lords

Crossbench peer Baroness Sally Greengross is calling on the Government to set up a working group to tackle a post-RDR advice gap, ahead of a House of Lords debate tomorrow.

Speaking ahead of her one hour debate on small pensions pot and advice, Pensions Policy Institute president Greengross says she is concerned the RDR could hit some investors who will be left without an adviser.

She says: “I will be asking the Government for a forum with the industry, regulator, Department of Work and Pensions and Treasury to meet to think how best we can improve customer outcomes. It isn’t a very difficult thing for the Government to do.”

Greengross says she called for the debate due to concerns that those on lower incomes will be priced out of the advice market.

She says: “We have had a lot of interest because there is a worry people won’t get the advice they need, and this having a bad affect on their income.

“By narrowing the advice gap we want to halt the erosion of a savings culture and it could be helped greatly by proportionate regulation.

“We should look how we can mitigate these problems. No-one is sure what is information and what is advice so it needs to clearly distinguished.”

She also called on the industry and providers to produce an annuity league table to create greater clarity for those coming to retirement.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 8 comments at the moment, we would love to hear your opinion too.

  1. That’s a funny thing to worry about – did nobody see that coming?

  2. There is an easy way. Stop RDR happening by delaying it to sort out the unintended or intended outcomes for the benefit of the consumer(or thats what it is supposed to be about). Once it is through it will be too late to unravel it all and it will cost far too much to start again from scratch(say RDR 2)

  3. There is still time to postpone RDR as advised by the TSC until it is thought through properly. RDR starts with an attack on the consumer. It removes choice from the consumer. No rebates, no extra allocations from providers. RDR will not achieve reduced product costs. Product costs will soar. It will not achieve more competition in the market. Competition will be stifled.

  4. Re – Terry – You wish!

  5. Bit like the captain of the titanic calling a conference of his officers to ascertain ‘what the problem is’, as the atlantic ocean creeps over the safety rail.

  6. If anyone thinks this is a problem now that can be solved at this late stage then think again it is going to get bigger and more contentious. The real poblem is a dictatorship who is at the helm of governance who answers to no one . Costs are rising because of the dictatorship no other reason and now they want us to fund their pensions too.

  7. At least some one is getting concerned and talking about it? The leaders of this industry are meek individuals who cannot cannot stand up and point this out? It should not have gone this far? It has been chaos in the financial services and the industry has allowed it to happen? It will reap the consequences and the consumer will suffer! They are already and we are in paralysis too!

Leave a comment