Mr Gwinnet added: “I think too, that the timing, with a general election only a month away, is unfortunate – there is little certainty that the rules will not be reassessed in the near future.”
Earlier this month, shadow pensions minister Gregg McClymont, said during a debate with pensions minister Steve Webb that the Labour party would monitor but not unwind the pension freedoms announced at last year’s Budget.
Rob Williams, head of distribution at Royal London Asset Management, argued that one of the biggest difficulties at the moment is that legislation is not clear.
“That’s probably the biggest risk, as ill-informed, albeit well-intentioned consumers get access to their money and don’t really know what to do with it,” he stated, noting that from a wealth management and adviser perspective, that’s where the opportunity lies however.
“There is undoubtedly a risk for wealth managers that they’re going on incomplete information at this point in time. At its worst, I think that could give rise to mis-selling, advertent or inadvertent, and it’ll take some time for that confusion to be closed down.”
peter.walker@ft.com
