IFA promoter Unbiased has revealed only 27 per cent of people are confident arranging an annuity without the help of a financial adviser.
Karen Barrett, chief executive of Unbiased.co.uk, said a poll organised by the IFA promoter found only 38 per cent of people say they’re ‘confident’ about their retirement income plans, and one in four said they feel ‘anxious’ about it.
While the pension guidance guarantee will highlight to consumers that they now have to make some decisions when it comes to their retirement income, Ms Barrett said it stops short of offering them actual advice.
She said this is where the advice industry needs to step in to help consumers make the “right, smart choices on their best options.”
In a consultation paper on the guidance guarantee, published in November, the FCA said that at the end of a guidance session a guidance provider must refer consumers to relevant sources of further information, including specialist advice, regulated advice, support tools or directories.
Ms Barrett said: “2015 will see further clarity on how the guidance guarantee will look and work. We are looking for definitive instructions from the regulator on the need for guidance providers to include clear signposting to regulated financial advice as an outcome of the guidance sessions.
“But the important thing to remember is that the advice industry doesn’t need to wait for the next steps on the guidance guarantee to get ready.
“Advisers already offer professional, qualified and regulated advice to millions of consumers and it is the continued showcasing of the benefits of this advice for consumers that 2015 will be all about.
“Consumers will be looking for help and actual advice on their retirement income options. Advisers are best placed to serve that need, leading to the best outcome for consumers.”
emma.hughes@ft.com
