New research has shown that two in five individuals are put off accessing financial advice because they think they have too little money to be of interest to Financial Planners.

Despite this perception – which is often incorrect - one in 25 people surveyed accessed advice for the first time in May.

Myths around the barriers to receiving financial advice are preventing people in the UK from reaching out to Financial Planners, according to research from provider Aegon.

The survey found that many people think they need to have accumulated significant wealth before accessing financial advice. Some 25% of those surveyed believed that the threshold for advice required minimum savings of over £100,000, although many planners will serve clients below this amount.

About 30% of respondents also believed that seeking advice locked them into an ongoing relationship with a planner.

The biggest barrier to seeking advice for 9% of those surveyed was a lack of confidence or fear of looking stupid when it comes to their money.

Among the most common reasons for respondents seeking advice were a desire for a financial health check (26%), a change in family circumstances (12%), or the need for advice on saving for a child or grandchild (13%).

Steve Cameron, pensions director at Aegon, said that he expects demand for Financial Planning to grow.

He said: “The impact of Coronavirus has undoubtedly created a need for financial advice as individuals need professional advice before making big financial decisions, which could have huge ramifications on their long term savings. It’s very early days, but I suspect that demand will build.”

“No matter what stage someone is in life, an adviser’s expertise can add real value, even for those with modest incomes or savings.”

• Research with 2,000 individuals was conducted by Opinium in May.