'Make it compulsory to receive advice at retirement'

Two thirds of unretired over 55s believe that it should be compulsory to receive financial advice at retirement, a poll found. The research showed that 62% of people who plan to use their pension funds before retiring also agreed with this idea.Carried out by ComRes for MGM Advantage, the survey found 35% were not comfortable managing their pension in retirement, suggesting that they will require on-going advice through retirement.Only 11% of the 1,000 consumers polled said they were "very comfortable" managing their pension in retirement.MGM is calling for a "clear hand-off to regulated financial advice" when people are seeking help to take the next steps at-retirement.Andrew Tully, pensions technical director at MGM Advantage, said: "The research paints a clear picture of an appetite among the over 55s for financial advice not only at the point of retiring but also during retirement."We need to provide a clear hand-off to regulated financial advice to help people take the next logical steps. {desktop}{/desktop}{mobile}{/mobile}"My fear is many people will revert to their pension company and not shop around for either the best solution or the best deal."He said the Pension Wise guidance service is a good starting point, he believes but it may not be enough to help retirees make the right choice for their personal circumstances.He said: "We need to continue to work hard to promote the benefits of people actually taking the next step and getting proper regulated financial advice."This is the only way we can remove the status quo, ensure we improve the outcomes for people at-retirement and make sure the new rules benefit as many of them as possible."He said: "People are making difficult, life-changing decisions, made all the more complex by the new pension rules. We're seeing the majority of people recognise that without financial advice they may fail to realise the full implications and make decisions that end up costing them dearly."

'Make it compulsory to receive advice at retirement'

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