A worrying lack of 'pensions literacy' has been exposed according to AXA Wealth, which carried out a survey among consumers.
Just under a third of UK adults surveyed did not know what changes to pensions were announced in the Budget or what the changes mean for them.
Almost a quarter said they did not know which options from the Budget reforms applied to them.
Nick Elphick, managing director of specialist products at AXA Wealth, an IFP corporate member, said: "While the pension changes in the Budget constituted the biggest reform of pensions in over 100 years, it is alarming to discover the low levels of understanding and knowledge among UK adults.
"With the end of compulsory annuitisation, the flood gates have been opened to a whole new raft of at-retirement possibilities.
"If pension literacy is not improved many people will have insufficient means to support themselves during retirement.
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"We can't blame consumers for this. It is our job to communicate clearly and in everyday language."
The study showed that the number of UK adults with a clear financial strategy for their retirement savings is low.
When asked which savings decisions they would make, in light of the end of compulsory annuitisation:

• seven per cent would take most of the money out of their pension for discretionary spending
• six per cent would invest
• five per cent would still buy an annuity
• eight per cent would use income drawdown

Nearly two thirds of respondents were worried about not having enough money in retirement.
When asked about different retirement income products 36 per cent had not heard of even one presented to them.
Only one product, an annuity, registered more than 50 per cent in recognition.
AXA said the disparity between people's concerns over retirement and their absence of Financial Planning suggested that inertia or lack of awareness around retirement saving is hindering their chances of securing a sufficient retirement income.