Three quarters of pension savers, 76 per cent, want a pause to further pension reforms, according to research by MetLife.
A survey of over-55s, two years on from the launch of the pension freedoms also found that just one in three savers, 35 per cent, believe they have a good understanding of the new freedoms designed to deliver increased flexibility; 54 per cent find the rules confusing. In addition, exclusive research among MPs shows nearly two out of five (39 per cent) still believe the current pension system is not fit for purpose.
The research is part of a series of four reports from MetLife starting with Real Pension Freedom: The Delivery Scorecard, outlining the opportunities and challenges facing savers as well as advisers, providers, regulators and the government.
The research also found that 36 per cent of over-55s fear losing their funds to fraudsters while 43 per cent are worried their pension funds will not last them through retirement. Around 57 per cent say current low rates and stock market volatility mean their retirement savings are not sufficient to fund retirement.
Commenting, MetLife wealth management director Simon Massey: “Pension freedom has been a qualified success delivering real change but it needs to be improved in order to deliver on supporting savers and advisers in providing a pension system fit for the 21st century. Savers have access to a broader choice of options than ever before. They need to understand all their options when it comes to taking a retirement income and MetLife is committed to helping deliver a wider choice through solutions that work in the new world of retirement.
“The pace of change over the past two years has been bewildering for savers and it is clear they want a pause for breath in order to better understand the opportunities from the new rules. But it is also clear that there are short-term and longer term improvements which can be made in order to ensure that savers and advisers benefit from real pension freedom with advice and financial education at the top of the agenda, enabling better understanding of the choices available.”