Concerns raised by regulator over savers’ use of pension freedoms

Concerns raised by regulator over savers’ use of pension freedoms

A review of the newly liberalised pensions market has highlighted a number of concerns, including money being withdrawn from pensions and moved into savings due to a ‘lack of trust’. A year-long review of the retirement income market post pension freedoms by the Financial Conduct Authority (FCA), has identified a ‘number of shortcomings’ in the system.

It found that accessing pension pots early has become ‘the new norm’ with 72% of pots accessed by those aged under 65. Most of these people are choosing to take lump sums rather than a regular income.

The FCA found that 53% of pots accessed […]

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