United Utilities: 'IFAs what are they good for?'
12 September 2012 (PLANSPONSOREurope.com) -Independent Financial Advisers (IFAs) "do not understand pensions”, a senior pensions director has claimed.
Speaking to PLANSPONSOR Europe for the (UU) Autumn/Winter edition of the magazine, head of pensions at UK water group United Utilities Steven
Robson said: “I don’t believe IFAs are of any use at all. They don’t fully understand pensions and are never going to say to people you should do this, this or this.
“If you explain things simply enough to members they can make the decision. An IFA would want to charge to get to that same place.”
And he dismissed the National Employment Savings Trust as a provider of “inadequate” retirement incomes.
UU, which will retain Friends Life as its pension provider for auto-enrolment, began enrolling employees from the 1 July, although its staging date is next year,
Its DC scheme matches employee contributions of 3%, 5% or 7%.