A SSAS provider believes the sweeping changes to pensions in the Budget will lead to more people taking their retirement income early and therefore increase the reliance on the state pension.
The independent bespoke Sipp Rowanmoor said the Chancellor's announcements left companies with a lot to digest.
Ian Hammond, managing director, Rowanmoor Group said: "The industry has been calling for pensioners' income flexibility and choice at retirement to be widened, however the scale of the announcements in today's Budget could not have been anticipated.
"It is unprecedented for changes of this scale to be implemented, particularly in such short timescales, without consultation.
"The potential impact of the reduction in the minimum income requirement to £12,000 per annum is likely to result in many more people taking their whole pension fund early, with the consequence of an increased reliance on state benefits."
He said: "Whilst these reforms appear be the bedrock of a new, more flexible pension system in the UK it will take some time for the industry to fully digest their impact."