Money Guidance plans announced
The Government has published new recommendations to provide UK consumers with the knowledge, understanding and confidence to make better decisions about money issues.
The Thoresen Review of Generic Financial Advice has set out a blueprint for the national Money Guidance service, which will offer consumers telephone, internet and face-to-face access. The plans will cover issues such as budgeting, saving, borrowing, insurance, retirement planning and deciphering financial jargon.
Research commissioned by the review body revealed 75% of people surveyed would use a national information and guidance service for personal finance issues. Of these, more than 25% felt they would be very likely to use this service.
Further research from the body showed eight out of 10 participants took at least one action within a week or so of using a trial of the service. Of this number, more than half took specific action, such as buying a new product or speaking to a regulated adviser.
The Financial Services Authority, the UK’s financial regulator, will run the Money Guidance service.
Teresa Perchard, director of policy at Citizen’s Advice, welcomed the announcement. “The recommendations in the Thoresen Review will, if implemented by government, make access to professional impartial financial advice something for all, not just those that can afford to pay for it,” she said. “We hope to be able to play a key role in the development of this national service over the next two years in partnership with others and look forward to seeing the details in the spring.”