The number of pensions being fully withdrawn has risen 5.1% in 2019/20 but the number of people taking regulated advice when entering drawdown has fallen by 10% in the first half of the year, according to the FCA’s Retirement Income Market data bulletin.
The latest data from the regulator showed 63% of pension pots entered drawdown with regulated advice being taken, with 27% of plans entering drawdown with no advice or guidance.
For pension pots with less than £10,000, less than half were advised (43%). However, for pots worth £250,00 or more this rose to 83%.
The Retirement Income Market data bulletin figures showed a 3.3% rise in the number of pensions being accessed for the first time but a 5.1% rise in the number being fully withdrawn.
Of the 673,831 pensions accessed in 2019-20, 56% were fully withdrawn which is up from 55% in the previous 12-month