Two-thirds of pension savers having difficulties with fee information

Just over two-thirds (67 per cent) of pension savers think information about fees is complex and difficult to locate, according to research from PensionBee.

The research found that almost half (47 per cent) of respondents did not know how much they were paying in fees, with around a quarter (24 per cent) of savers stating that they did not know how to find this information.

Of those that did know how much they are paying in fees, 29 per cent reported that they had difficulty in finding or understanding this information.

Additionally, 8 per cent of respondents said they knew where to look for the information but had not tracked it down as they thought it was too complex, while 6 per cent said they had not tried to find the information as they thought it was likely to be difficult to locate or understand.

Around one in ten (9 per cent) said they had not made an effort to find the information as they simply trusted that the fees were reasonable.

The provider said the findings supported efforts from the Financial Conduct Authority, which has consulted on costs and charges in workplace and non-workplace pension schemes, and the Department for Work and Pensions, which is seeking to introduce a single annual charge for automatic enrolment schemes, to simplify pension charges.

PensionBee chief engagement officer, Clare Reilly, commented: “Hidden charge information continues to undermine consumer confidence in pensions. Whilst progress is being made there is a long way to go before savers get one all-in fee in pounds and pence mandated on annual statements.

“These are the basic requirements for building trust, engagement and confidence in pensions."

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