Friday, 11 July 2014 11:56
Pre-retirees expect 'detailed' advice from new guidance service
More than half of over 55s want the pensions guidance pledged by the Government to provide them with detailed advice and understanding on all of their options, a poll suggests.
Just 4% said that a mere basic understanding of their options at-retirement would be what they expected.
A debate has been raging about the best way to implement the guidance guarantee among firms and industry experts and commentators since it was first announced in the Budget.
According to the research by MGM Advantage people would prefer to access the service face-to-face (35%).
Using the service via the phone only appeals to 4% of pre-retirees, and using new technologies like Skype just 1%.
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Some 44% said they would expect the basic facts to prepare them to make up their own mind while 41% said they felt using the service should make them prepared to make the right decisions for their own personal situation.
Andrew Tully, pensions technical director at MGM Advantage, said: "People have high expectations from the guidance service.
"They want to feel equipped with a high degree of knowledge, with many instinctively preferring face-to-face contact and advice.
"This is a tall order given the resources available and the timeframe for implementation.
'We need to think creatively about how and when people can access the service, promoting it as a national branded service and ensuring it is available when people need it.
"It is clear from our research that the hand-off to professional financial advice needs to be clear and signposted early on in the process to manage what people are expecting from the service.
"We don't have a huge amount of time to get this right, so a quick decision regarding the guidance operator is essential to enable them to start recruiting staff and planning so the service is up and running before April 2015."
The majority (82%) of people said they thought it was important that they can use the service as many times as they want as they move through retirement. Only 6% felt it wasn't important.
Just 4% said that a mere basic understanding of their options at-retirement would be what they expected.
A debate has been raging about the best way to implement the guidance guarantee among firms and industry experts and commentators since it was first announced in the Budget.
According to the research by MGM Advantage people would prefer to access the service face-to-face (35%).
Using the service via the phone only appeals to 4% of pre-retirees, and using new technologies like Skype just 1%.
{desktop}{/desktop}{mobile}{/mobile}
Some 44% said they would expect the basic facts to prepare them to make up their own mind while 41% said they felt using the service should make them prepared to make the right decisions for their own personal situation.
Andrew Tully, pensions technical director at MGM Advantage, said: "People have high expectations from the guidance service.
"They want to feel equipped with a high degree of knowledge, with many instinctively preferring face-to-face contact and advice.
"This is a tall order given the resources available and the timeframe for implementation.
'We need to think creatively about how and when people can access the service, promoting it as a national branded service and ensuring it is available when people need it.
"It is clear from our research that the hand-off to professional financial advice needs to be clear and signposted early on in the process to manage what people are expecting from the service.
"We don't have a huge amount of time to get this right, so a quick decision regarding the guidance operator is essential to enable them to start recruiting staff and planning so the service is up and running before April 2015."
The majority (82%) of people said they thought it was important that they can use the service as many times as they want as they move through retirement. Only 6% felt it wasn't important.
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