We are currently experiencing technical difficulties with our telephone system.
We apologise for any inconvenience and are working to resolve this as soon as possible.
Evolution Money
Customer Enquiries 0161 814 9158
This website uses cookies. By continuing to browse the site you are agreeing to our use of cookies. Continue
Home > Concern that pensioners may find themselves short of money

Concern that pensioners may find themselves short of money

3rd March 2015 | Published by Evolution Money

Millions of people will be able to gain access to their pension funds from the start of the next tax year, on April 6. The minister in charge of the move, Steve Webb, has said that many pensioners might leave themselves without enough money for their old age, but that this is a ‘calculated risk.’

‘Pension freedom day’ as it is becoming known, will allow people over the age of 55 to do whatever they want with their pension, rather than having to buy an annuity.

In an interview with The Observer newspaper, Steve Webb said that he realises it is a risk to allow people the freedom to do what they want with their own money. Full control might be safer but that has led to compulsory annuities and many very dissatisfied pensioners.

The average length of retirement is 25 years but, as figures from the insurance company Zurich show, fifty per cent of people believe that they will need their retirement fund for only 20 years or even less.

However, Steve Webb believes that although many people may choose to spend all of their pension pot ten or even twenty years before they die, this is not necessarily the wrong thing to do. Perhaps they will enjoy spending their pension pot and then live on the state pension and, perhaps, some other savings. That may even be the best outcome, he said.

Mr Webb also downplayed fears that the pension industry will not be ready for pension freedom day on April 6. A number of insurance companies have already said that they are not willing or ready to allow savers full access to their money next month. Some companies, for example, will not be allowing savers to withdraw their funds gradually, so forcing them to take their pot out in one go and pay a huge tax bill or buy an annuity.

Category: Money
This post was written by Evolution Money
Warning: Late payment can cause you serious money problems. For help, go to moneyadviceservice.org.uk

How our customers rate us

We’re proud of the high standard of our customer service and believe that each of our customers should be treated as an individual.
Evolution Money 90 out of 100, based on 112 reviews over the past year. 112 user reviews. Read our reviews

Members of the The Finance & Leasing Association

FLA logoThe Finance & Leasing Association is the leading trade body for the motor finance, asset finance and consumer credit industries in the UK.

Socialise

Feeling social? Check out our social pages!

Tweet us on Twitter
Like us on Facebook
Pin us on Pinterest
Add us on Google+

Our Address

Evolution Money,
9 Portland Street,
Manchester,
M1 3BE


Registered Company Number: 06987852

Contact by Phone

General Enquiries:
0161 814 9158

Complaints:
0161 814 9165

Contact by Email

Evolution Money Limited is a licensed credit broker and service provider to Evolution Lending Limited. If your application doesn’t meet the underwriting requirements of Evolution Lending Limited we may pass your information to other lenders and brokers. Evolution Money Limited is a company registered in England & Wales, registration number 06987852 and registered at 8 St John Street, Manchester, M3 4DU. Authorised and regulated by the Financial Conduct Authority, firm reference number 708324.

© 2018 Evolution Money | Privacy Policy | Cookies | Complaints Policy | Breaking Down Our Loans | Terms & Conditions
Apply Online
I want to borrow £


You will receive a call today to continue with your application.
Thank you for taking the time to fill in our online enquiry form. Unfortunately in this instance we won't be able to help as being a homeowner is one of our primary requirements.
Start Here
Please wait

Please wait

Don't leave just yet!

Evolution Money are a multi Award Winning UK finance company with thousands of happy customers!

Award Winning

Our friendly loan advisors can let you know if you're eligible for a loan without affecting your credit score. Why not give us a call today!

Freephone 0800 144 8188

Back to Evolution