Stephen Lowe: A stronger 'nudge' towards pension advice

Make it ‘part of the process’

clock • 3 min read

Poor outcomes for retirees due to uninformed decisions ultimately threaten the long-term existence of the pension freedom policy itself but, argues Stephen Lowe, there are clear ways to counter that threat

There is an obvious contradiction at the heart of government policy towards financial guidance and advice. Logically, consumer support should be focused on areas where knowledge and confidence is relatively low and the potential for poor outcomes is high. Yet that is not what happens. Under the popular ‘freedom and choice' policy, pension savers have complete freedom to access money in defined contribution schemes without taking advice or the free guidance on offer. That contrasts with mortgage borrowers who are required to take regulated financial advice - the highest level of support a...

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