Friday, 05 April 2013 09:34
Employers should be incentivised to provide staff with financial advice
Financial advisory group deVere Group wants firms to be given tax relief for offering employees financial advice.
The firm said the implementation of auto-enrolment meant it was important employees were aware of the changes to their finances. The RDR has also limited the number of people who have access to financial advice on the High Street.
Currently firms are eligible for up to £150 per employee in tax relief for offering pensions advice to employees. However, there has been criticism that £150 would buy very little financial advice at today's prices.
Nigel Green, chief executive, said: "Arguably the best place to deliver the message that Financial Planning brings real rewards is in the workplace, as it's a familiar environment and people can discuss the issues with colleagues and a professional adviser.
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"Clearly, it's not an employer's responsibility to inform and educate their staff on financial matters, but those who do offer courses should be incentivised with a greater level of tax relief."
He said more financially aware citizens would also benefit the State as they would be less dependent on the Government, particularly as they reach old age.
Mr Green said: "Not only does it benefit the individual and their families, it will also benefit the State as those who are financially secure are less likely to be dependent-which is essential for Britain's long-term competitiveness and economic growth as it faces the ongoing and growing challenges of an ageing population."
The firm said the implementation of auto-enrolment meant it was important employees were aware of the changes to their finances. The RDR has also limited the number of people who have access to financial advice on the High Street.
Currently firms are eligible for up to £150 per employee in tax relief for offering pensions advice to employees. However, there has been criticism that £150 would buy very little financial advice at today's prices.
Nigel Green, chief executive, said: "Arguably the best place to deliver the message that Financial Planning brings real rewards is in the workplace, as it's a familiar environment and people can discuss the issues with colleagues and a professional adviser.
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"Clearly, it's not an employer's responsibility to inform and educate their staff on financial matters, but those who do offer courses should be incentivised with a greater level of tax relief."
He said more financially aware citizens would also benefit the State as they would be less dependent on the Government, particularly as they reach old age.
Mr Green said: "Not only does it benefit the individual and their families, it will also benefit the State as those who are financially secure are less likely to be dependent-which is essential for Britain's long-term competitiveness and economic growth as it faces the ongoing and growing challenges of an ageing population."
- The group has also announced today it will be expanding its operations in UK, Germany and Spain and withdrawing from Belgium and Portugal. This follows a six-month strategic review of the firm's business model and it hopes to double its European presence over the next three years. The firm said its UK advisers would be "better placed" to help clients in Belgium and Portugal.
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