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Retirement drives surge in demand for financial advice, research finds

Demand was highest among people aged 54 to 66, peaking for those aged 64 to 65, according to research from Inzuzo.

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Research from Inzuzo found there were around 150,000 UK online searches each month for financial advice, with more than half driven by retirement. 

Demand was highest among people aged 54 to 66, peaking for those aged 64 to 65 as retirement decisions became more immediate.

Inzuzo found 95% of consumers had not previously received regulated financial advice. 

Face-to-face meetings remained the preferred option for all ages. 

Around 60% of people under 55 wanted to meet advisers in person, rising to about 80% for those aged over 70. 

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Video meetings were preferred by about 25% of under-55s and 10% of people over 70.

Richard Ardron, chief commercial officer at TFAS Enterprises, said: “The debate around the advice gap inevitably focuses on the millions of people who don’t currently receive financial advice. 

“What our data demonstrates is that there is also a substantial number of consumers actively looking for help.

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“These aren’t simply people browsing financial content. We see consumers approaching retirement, trying to understand multiple pension arrangements, considering whether to consolidate existing plans or trying to make important decisions about accessing their retirement savings.”

Ardron added: “For many, the challenge isn’t recognising that they need help. It’s knowing where to go and finding an adviser they trust.

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“We see consumer behaviour change during periods of heightened uncertainty. 

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“When geopolitical tensions increase, such as with the current situation in Iran, consumers without an existing adviser relationship can become more cautious and pause decisions until there is greater clarity.”

He said: “Once that uncertainty begins to subside, we typically see pent-up demand return, with an increase in people actively looking for financial advice.

“We see a similar effect around major domestic political and fiscal events. 

“Search activity around areas such as pensions and Inheritance Tax can increase significantly around major announcements, particularly the Budget, as people try to understand what changes mean for their own finances.”

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He added: “The opportunity for the advice profession is considerable. We’re seeing people with genuine financial needs actively searching for professional help, many of whom have never engaged with an adviser before. 

“Consumers referred to advisers through Inzuzo hold, on average, £250,000 or more in assets, reflecting a base of engaged, higher-value consumers actively seeking advice, not just casually browsing

“Closing the advice gap isn’t therefore solely about creating demand.”

He said: “Part of the challenge is making it easier for consumers who already recognise that they need help to find and engage with an appropriate adviser.

“If the profession can do that effectively, there is a substantial population of consumers currently outside regulated advice who can be brought into it.”

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