unbiased.co.uk, the find-an-adviser search website, has submitted its formal response to the Treasury's consultation on Freedom and Choice in Pensions - urging greater clarity on the government's guidance guarantee scheme to ensure independent financial advice is a key component.
The service provider surveyed its panel of whole of market advisers to draw on the expertise and experience of this group in delivering advice to consumers. When asking advisers for their views on the proposed scheme, unbiased.co.uk's research found that nearly three quarters of advisers (71%) believe an initial guidance session will not be sufficient to cover the range of discussions necessary for those approaching pre-retirement.
The results show an overwhelming 92% of advisers strongly believe there should be a mandatory minimum standard of qualification for those providing guidance. Over three quarters (79%) stated QCFLevel 4 should be the minimum standard of qualification necessary for those giving guidance to consumers.
Its research also shows that consumers are confused about their understanding of advice and guidance, attributing characteristics of regulated financial advice to their understanding of what the guidance guarantee means. When asked what they believe the guidance guarantee will deliver to them, three of the top five attributes given by consumers were features of regulated financial advice.
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Survey Question: The government announced in the Budget that it was looking to provide all people at retirement with a 'guidance guarantee'. What do you think this pre-retirement guidance guarantee would deliver to you?
1 A general overview of retirement options available (21%)
2 Basic information on retirement planning (21%)
3 Advice on my retirement planning (16%)
4 Advice on what retirement income option is right for me (13%)
5 A guarantee that what I'm being told is right for me and my situation (11%)

unbiased.co.uk has highlighted the following in its consultation response:
· More clarity is needed on what guidance is
· Independent advice is a necessary component of pre-retirement choices
· Minimum qualifications for those giving guidance should be at least QCF Level 4
· Initial guidance sessions should be at least an hour long and include clear signposting to independent financial advice

Karen Barrett, chief executive of unbiased.co.uk, said: "We believe it is imperative that the Treasury is absolutely clear on what it means by guidance, and consumers have a complete understanding of what is being offered. It should also state a minimum session length and level of qualification for those providing the guidance, as well as clear signposting for people to seek advice.

"It has been proven time and time again that whole of market advice tailored to individual circumstances is the best way to ensure the greatest outcome for consumers. Our 'Value of Advice' research shows the average pension pot for those consumers who have been advised on their retirement planning is nearly double that of those who have not sought advice."

• unbiased.co.uk surveyed its network of whole of market advisers via their newsletter and website between May 16-May 24 2014. Total survey responses: 218.
unbiased.co.uk also commissioned Opinium Research to carry out an online survey of 2,003 UK adults aged 18+ from 29 April to 2 May 2014.