View more on these topics

Pension Wise access details confirmed

The phone number for Government-backed guidance service Pension Wise has been confirmed just two weeks before the pension freedoms come into force on 6 April.

People eligible for the service can call 030 0330 1001 to book an appointment either face-to-face through Citizens Advice or over the phone with The Pensions Advisory Service.

Guidance providers say users will be asked to wait two weeks for an appointment – which will be up to around 45 minutes long – to give them time to collect relevant financial information and documents to bring to the sessions.

The Pension Wise website has already been launched but the adviser directory users will be directed to, designed by the Money Advice Service, is still registering advisers and has not been launched to the public.

Pension Wise is funded by a £20m Government start-up loan and a levy on financial services firms, of which advisers are expected to pay £4.2m in costs in the first year.

Hargreaves Lansdown head of pension research Tom McPhail says: “With only 2 weeks to go until the new freedoms go live, it has been a close run thing for the Treasury to get the promised service up and running.”

“Pension Wise will be useful but for many investors it is unlikely to answer all their needs. If investors want more help, the Pension Wise service only directs them towards paying for regulated financial advice, which is hardly consistent with the spirit of the new freedoms. We know that most investors want to make their own decisions without paying for an adviser, at the same time they’re likely to want more help than Pension Wise can offer. As a consequence, the pensions industry has also been gearing up for a big surge in demand.”

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

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

  1. So Tom thinks most people do not need advice then.
    Shame on you Tom advice has never been more needed than now.

  2. Actually, Sir Tom is right. I can think of many instances, especially if there are small pots involved, where regulated advice is too expensive to be cost effective.
    Take, for example, someone with a 19k pot, perhaps in an old company DC pension. For a regulated adviser, who needs the G60 or equivalent qualification, to give advice for someone who wants to take flexi access drawdown. take the 5K tax free and leave the rest until needed, more as a safety net during retirement. than a regular income producing sum. If you adviser charged £1,000 for the work you would hardly get rich, considering the work involved. Therefore it would make sense to use a fund supermarket that has suggested decumulation funds to transfer to, let them do the paperwork and accept the transfer and provide the TFLS and the small lumps when needed. No it’s not perfect, but it is practical. So, for people with small pots Pension Wise can give sufficient guidance on the next steps. However without an approved list from MAS or whoever,of advisers and Supermarkets, the users of the Pension Wise service will hit a brick wall going forward.

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