Research for Openwork, one of the UK’s largest financial advice networks, has shown that there is a growing untapped demand for financial advice.
Its nationwide study found just 15% of adults see a financial adviser regularly with men more than twice as likely to receive support with their finances compared with women. Around 23% of men say they see an adviser compared with just 10% of women.
However, the research found nearly six out of 10 people questioned (56%) believe they would benefit from regular financial advice highlighting a huge source of untapped demand for the advice industry.
The future for the advice market looks healthy too – demand for support rises to 71% among under-35s showing how the market will keep expanding as people get older.
Openwork believes the launch of pension freedoms, enabling everyone aged 55-plus to access their pension when they want plus the growing numbers of people starting pensions and investing for their future as well as issues with affording homes is driving interest in advice.
But it says the number of advisers – which has increased to around 26,000 in the most recent data from PIFMA from 22,000 in 2013 – needs to grow rapidly to meet demand.
Its research found around 40% of consumers wished their employer would offer financial advice, underlining how keen people are to access support with their money.
Around one in three adults (33%) admit to not being confident with money matters and 40% worry that they do not know enough about money.
Claire Limon, Director of Learning and Acquisition at Openwork, said: “The financial services industry has seen increased demand year on year, not just from older people looking for help through retirement, but also from young people who are looking to improve their financial literacy.
“More people across the UK recognise they need expert help to create and protect wealth for themselves and their families and want to have more control over their finances during uncertainty across the economy.”
