Editor’s comment of the week: Stop telling consumers that advisers cannot be trusted
After reading about Consumer Panel chair Sue Lewis’s comments about trust in advisers, it strikes me that the problem is very simple – consumers are constantly being told there is a problem. They have had 20 years of being told that pensions are rubbish, advice is expensive and we are all fraudulent crooks.
Intelligent members of the public have ignored this and have found advisers they can work with and trust over the years.
If we are to get consumers interested and engaging in financial advice and products, they need to be shown the benefits, the cost of doing nothing, and what advice should look like. This would be far more constructive than the Money Advice Service.
In eight to 10 years I will retire. I want it on record that I predict we will have a review costing billions some time soon to find out why it all went wrong, why there are no advisers, why no-one wants to provide advice and why there are only Government-run savings schemes. The review will be undertaken by those who caused the problems in the first place, while the blame will be pointed back at the advisers and industry (sound familiar?).
In the meantime, the Government will use Nest and others to steadily gain the lion’s share of the nation’s savings.