Pensioners urged to ‘take time’

Money management challenge
Money management challenge

Pension savers are being urged to resist making a “dash for their cash” when the new retirement freedoms come into force next month.

Consumer group Which? and the Association of British Insurers (ABI) have joined forces to encourage people not to rush into a decision they may later regret when it becomes easier for them to get their hands on their pension pot from April 6.

They are emphasising that this date marks the start of the pensions revolution and not a deadline for people to act.

Around half a million people will be able to take control of their retirement savings for the first time when the new rules start.

Which? has launched a free guide, supported by the ABI, to help people secure a good deal for their savings and make the most of the free, impartial guidance sessions that they will be offered under the new Government-backed Pension Wise scheme.

“Don’t be tempted to ‘dash for the cash’, but take time to consider carefully your options - especially as rising life expectancy means we can expect a longer retirement,” said Huw Evans, director general of the ABI.

“The Government’s Pension Wise service should be your first port of call to help you understand your options, and make the right retirement income decision.”