10 stats showing where pension freedom cash is going

Savers are accessing their pension before they retire and spending their cash on the good life

It has been nearly five years since former chancellor George Osborne told MPs he would introduce the pension freedoms. These would allow consumers to make flexible withdrawals from their pensions.

The policy has fundamentally changed the landscape of retirement planning, and allowed IFAs everywhere to really show their worth when it comes to cashflow management, tax planning and life coaching. The flow of information regarding the policy has been reasonably steady so far.

Now, new research from Canada Life has added to the picture, suggesting members of the public are still spending their cash on holidays, home improvements and new cars (though no Lamborghinis are mentioned). Canada Life surveyed 505 over-55s who had used the pension freedoms between 1 and 8 March 2019, to build up a profile of the working and spending status of their customers. You can see the research below.

It has been nearly five years since former chancellor George Osborne told MPs he would introduce the pension freedoms. These would allow consumers to make flexible withdrawals from their pensions.

The policy has fundamentally changed the landscape of retirement planning, and allowed IFAs everywhere to really show their worth when it comes to cashflow management, tax planning and life coaching. The flow of information regarding the policy has been reasonably steady so far.

Now, new research from Canada Life has added to the picture, suggesting members of the public are still spending their cash on holidays, home improvements and new cars (though no Lamborghinis are mentioned). Canada Life surveyed 505 over-55s who had used the pension freedoms between 1 and 8 March 2019, to build up a profile of the working and spending status of their customers. You can see the research below.

Read more on HMRC pension freedoms over-taxation here.

Read more here.

Source: Canada Life

Source: Canada Life

Source: Canada Life

Source: Canada Life

Source: Canada Life

Source: Canada Life

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