Budget: requirement for pension advice

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Sterlingtimes
Sterlingtimes Posts: 2,408 Forumite
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in Pensions, annuities & retirement planning
I cannot believe that the Government will fund the cost of advice that everyone will now be required to receive. The Government contribution toward this is surely just for policy development.

Presumably, the pension holder will be required to fund. Does this mean that some of us will have to pay for advice that we do not want?
I have osteoarthritis in my hands so I speak my messages into a microphone using Dragon. Some people make "typos" but I often make "speakos".
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  • tony4147
    tony4147 Posts: 340 Forumite
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    I'm guessing that if you can show you have received advice from an IFA etc then you would not have to see Government appointed adviser.

    I do think it is a good idea that everyone is pushed down the route of obtaining advice from some recognised adviser, although costs must remain within reason
  • gadgetmind
    gadgetmind Posts: 11,130 Forumite
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    It's worth reading the Freedom and Choice consultation paper.

    https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293079/freedom_and_choice_in_pensions_web.pdf

    What kind of advice to provide, and how to fund it, is something they want feedback on. However, this is unlikely to be the kind of made-to-measure in-depth advice that you'd get from an IFA, and far more just someone taking you though the options available and explaining the pros and cons of each in very general terms.
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
  • kidmugsy
    kidmugsy Posts: 12,709 Forumite
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    Sterlingtimes wrote: »
    Presumably, the pension holder will be required to fund. Does this mean that some of us will have to pay for advice that we do not want?

    I suppose that adds to the case for going into flexible drawdown now, if you qualify. By "now" I mean after March 27th.
    Free the dunston one next time too.
  • dunstonh
    dunstonh Posts: 116,637 Forumite
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    cannot believe that the Government will fund the cost of advice that everyone will now be required to receive. The Government contribution toward this is surely just for policy development.

    They are not. The £20million is to kick start it. After that, a levy will be charged to providers to fund it (which will in turn be paid for in product pricing as with all the other levies we pay)
    Presumably, the pension holder will be required to fund. Does this mean that some of us will have to pay for advice that we do not want?

    You wont have to use it.
    'm guessing that if you can show you have received advice from an IFA etc then you would not have to see Government appointed adviser.
    It may be IFAs or whole of market restricted that are giving the advice under the system as the promise of face to face advice requires enough qualified people to do it. Maybe they will pass it to MAS. We dont know yet.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • gadgetmind
    gadgetmind Posts: 11,130 Forumite
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    dunstonh wrote: »
    Maybe they will pass it to MAS. We dont know yet.

    Well, that's your guess, but my money is on them getting Atos to do it!
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
  • Linton
    Linton Posts: 17,245 Forumite
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    I suspect this wont be peronalised "financial advice" subject to the current heavy handed consumer protection regime - it would be too expensive. "Guidance" seems more likely to me where the advisor just informs the customer of the options available and their implications.
  • greenglide
    greenglide Posts: 3,301 Forumite
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    gadgetmind wrote: »
    Well, that's your guess, but my money is on them getting Atos to do it!

    Along with a ESA medical included in the price:)
  • gadgetmind
    gadgetmind Posts: 11,130 Forumite
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    Naaa, Atos just lost that gig, which is why they'll be sniffing around for more easy money.
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
  • bigadaj
    bigadaj Posts: 11,531 Forumite
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    gadgetmind wrote: »
    Naaa, Atos just lost that gig, which is why they'll be sniffing around for more easy money.

    And when atos decide that they don't want the contract any more they'll be complaining of death threats from the proto pensioners they've been advising I would assume!
  • gadgetmind
    gadgetmind Posts: 11,130 Forumite
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    bigadaj wrote: »
    they'll be complaining of death threats from the proto pensioners they've been advising I would assume!

    I can see the MSE thread now ...

    "ATOs are bulley's!!!!!!!

    "My an misses went to see atos fer our penshun meeting. We telled them that we'd saved £20 a month all our lifes and now had over 12 grand saved into our penshuns.

    "They said that weed not go enuf to retire and needed to keep working til we was 67! They are nothing but robbin bulley's that dont have any heart or considaration for penshuns like us!"

    Of course, that's about an accurate stereotype as the Conservative's "Beer and bingo" one.
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
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