Guidance guarantee: Treasury shuns providers in favour of MAS and TPAS

clock

Savers are to receive free independent guidance from the Money Advice Service (MAS) and The Pensions Advisory Service (TPAS) when given unfettered access to their pension pots from next year, the government has said.

The plan changes an aspect of the major liberalisation of defined contribution pensions unveiled in the Budget. Critics had raised concerns a proposal to make providers give 'advice' could see unsuitable investments recommended. The guidance will now be through independent organisations, paid for by a levy on regulated financial firms. It will it not always be face-to-face, as first indicated, but could be provided online or by phone. Up until now most people in defined contribution schemes - where the final pension depends on the amount of investment returns - bought an annuity...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Retirement

Advisers warn market volatility will threaten retirement plans

Advisers warn market volatility will threaten retirement plans

More than half expect clients to postpone or change plans

Isabel Baxter
clock 26 March 2024 • 2 min read
Perfect timing: How to advise clients on the right time to retire

Perfect timing: How to advise clients on the right time to retire

Striking a balance between health, wealth and personality

Richard Hulbert
clock 05 February 2024 • 4 min read
Baillie Gifford: Enjoying later life without an income from work

Baillie Gifford: Enjoying later life without an income from work

The latest from PA’ Digital Working Lunch webinar series

Professional Adviser
clock 12 December 2023 • 2 min read