Even the affluent are shunning financial advice, according to research by Franklin Templeton Investments.
Of those with more than £250,000 saved for retirement, only 36 per cent use a financial adviser, according to a survey of more than 2,000 UK adults that took place in January.
More than a quarter do not have a retirement income plan and 70 per cent of those that do say it is informal and primarily exists in their head.
Ian Wilkins, UK country head at Franklin Templeton, said: “These findings are concerning on a number of levels, but most worrying is the fact that so few people have given any considered thought to a retirement plan.
“Whilst most people undoubtedly put time and effort into seeking advice and a clear plan over their mortgage or insurance arrangements, it seems that retirement planning is falling by the wayside for a disturbingly large number of people.”
Of those not currently working with a financial adviser, 65 per cent say they did not feel the need, while 30 per cent said the cost was too high.
Adviser View
Joel Adams, founder of Cheshire-based Lift-Financial, said the industry needs to wake up to the opportunities being presented.
He said: “We cannot ignore the fact that a significant group of those approaching retirement have little or no plan in place and a widening knowledge gap is emerging across the UK.
“Financial advisers have a vital role in helping consumers meet their retirement goals.”
damian.fantato@ft.com
