One in five advisers believe the 'pensions crisis' has got worse since the introduction of pensions simplification in April last year.
A survey by Investec Private Bank reveals 21% of respondents say the A-day changes, which saw eight pension tax regimes become one, has made the pensions crisis, while 35% say the changes have made no impact whatsoever.
In addition, the survey of 215 advisers, conducted by George Street Research on behalf of Investec, reveals just 15% believe the pensions crisis is improving because of A-Day, while 20% think A-Day had no impact but may do in the future.
The findings also revealed more than a third - 38% - of financial advisers have seen an increase in pension business since ‘A Day’, with almost half of these claiming to have seen their pension business grow by between 11% and 20%.
Although just 2% of advisers say A-Day has increased their business by more than 50%, while 1% have seen a change of less than 5% in the pensions sector, and 32% say their pension workload has grown between 5-10%.
Linda McBain, head of banking and treasury at Investec Private Bank, says: “Our research shows the majority of pension advisers believe the regulatory changes from A-Day have done little to improve the current pension crisis. One year on it’s apparent that the government and the pensions industry as a whole still have more to do to make personal pensions more appealing to consumers.”
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Nyree Stewart on 020 7034 2681 or email [email protected]IFAonline
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