Meaningful pension advice: Maximising the government's £500 allowance

Andrew Pennie suggests some options...

clock • 3 min read

Andrew Pennie looks at the government's £500 advice allowance plans and says pension schemes and employers could play a big part in facilitating regulated advice...

Last week HM Treasury issued a consultation into the introduction of a pensions advice allowance, giving people the option to take £500 tax-free from their defined contribution pension to redeem against the cost of regulated financial advice. Anything that encourages a greater supply of regulated advice solutions for consumers, increasing their awareness about the options available to them and helping them to make the tough decisions on how to fund their retirement years and provide an income, has to be welcomed. We already know that people have access to plenty of guidance, including...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Govt moves to tackle gender pension gap with LPGS scheme changes

Govt moves to tackle gender pension gap with LPGS scheme changes

Reforms follow consultation on access and fairness in the Local Government Pension Scheme

Jonathan Stapleton
clock 03 February 2026 • 2 min read
Britain's pension ambition is rising - just as cash resilience slips

Britain's pension ambition is rising - just as cash resilience slips

'2026's 'pension resolution' wave is real. But so is the cash-cushion squeeze'

Phillip Wickenden
clock 02 February 2026 • 6 min read
Government again rejects Waspi compensation after review

Government again rejects Waspi compensation after review

DWP: Creation of compensation scheme would be ‘highly impractical’ and ‘time-consuming’

Martin Richmond
clock 29 January 2026 • 3 min read