Just 17% of pension ‘dippers’ - savers who 'dipped' into their Defined Contribution (DC) scheme to release cash - used the government’s Pension Wise personal finance guidance service.

Despite a 'stronger nudge' by the government to take advice, fewer than one in five retirement savers aged 55+ who accessed a DC pension in the last four years consulted Pension Wise.

The figures are revealed in the FCA’s major Financial Lives survey and have been analysed by pension specialists Just Group.

The data shows that despite publicity, only 18% of pension savers had a Pension Wise session, up only modestly from 15% in 2020 despite interventions to boost take-up.

The figures suggest more than four out of five pension savers do not consult Pension Wise although it's not known how many savers consulted Financial Planners or other advisers.

The government has run a much-publicised campaign to ‘nudge’ more people to take pensions advice before tapping a Defined Contribution Scheme.

The figures show that only 13% of those accessing pensions had a telephone appointment with a Pension Wise specialist and 5% a face-to-face appointment.

Just Group says the difference may reflect a switch to telephone appointments when face-to-face sessions were halted during the pandemic.

Stephen Lowe, group communications director at Just, said: “We are still waiting to see the impact of the ‘stronger nudge’ but the results from the trial suggest the approach will prove to be too timid.

“The government keeps rejecting proposals to test the impact of an automatic appointment pilot. But they and the FCA are pursuing no other meaningful activities to drive up Pension Wise usage.

“They’ve given up and are out of ideas as the data from the FCA illustrates. Should we conclude they appear content that pensions savers do not mitigate the risks they face?”