Money Marketing Magazine today (10th March 2017) reported on a couple of government personal finance initiatives which seem to be falling on deaf ears.
The first is the Lifetime ISA which a recent survey has revealed two thirds of adults have never heard of. The second is the Pension Advice Allowance which lets consumers draw £1,500 in three £500 tranches from their pension (provided they are not taken in the same tax year) to access retirement advice. Apparently Eighty per cent of savers in a recent survey said they did not know about the allowance.
Both the Lifetime Isa and the advice allowance are due to be rolled out next month.
Our feeling is that the Pension Advice Allowance may best be promoted by employers to their staff:
“The advice allowance is something we could be looking at more in a workplace context. There is a lot you can do if you have an engaged employer to offer guidance through the workplace. If you come across people who have a slightly bigger pot where it might pay to get more detailed advice, then that could be flagged at those sessions and the ability to take a fee through the pension would reduce the barriers to paying for pensions advice. ”
See more of our thoughts in the article here