Consumers still unconvinced about A-Day
UK consumers are not confident about the affect of upcoming changes to pensions rules on 6th April, with 47% unsure if they will encourage them to save more.
The research from the Prudential, prompted its director of pensions, David Dunn, to surmise that people still may not fully understand how the rules will benefit them. “A-day allows people to maximise their retirement saving,” he says. “Rather than constricting people’s saving with complicated rules and yearly allowances, from A-Day people will be able to save more at the point in life when they can afford to do so, and still benefit from the generous tax breaks on their savings.”
The Pru has identified key areas for consumers to consider when thinking about saving for retirement. This covers tax relief, the ability to use several schemes and when consumers will be able to take retirement.