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Public like IFAs&#39 service but wary of commission

Consumers overwhelmingly approve of the service they get from financial advisers, but still see commission as influencing the advice they are given, says a new survey by KPMG.

Eighty-one per cent of people taking advice when buying a mortgage, pension or life product say they were very satisfied with the service but 70 per cent believe it is inev-itable that a financial adviser&#39s judgement will be coloured by the commission received.

Sixty-six per cent say they would use the same channel again while 41 per cent did not believe an IFA would recommend the best product regardless of commission received.

The survey shows 82 per cent saying they would take advice from an IFA but 53 per cent of those surveyed spoke to a tied adviser. The research, carried out for KPMG by NOP Financial, interviewed 200 adult buyers of mortgages,pensions or life insurance.

KPMG Financial Services partner Simon Walker says: “There is no doubt that financial advisers enjoy a very positive image with consumers, and satisfaction levels were remarkably high.

“But the perception is clearly that advisers are swayed by commission, whatever the truth of the matter.”

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