Pandemic causes wave of over-50s seeking financial advice

The pandemic has created a surge in over-50s seeking professional financial advice, according to new research from Scottish Widows.

Almost half (46%) of independent financial advisers (IFAs) in the UK have reported an increase in the number of over-50s reaching out to them over the last 18 months.

The research, based on a study among 200 IFAs, suggested the most common reasons for the surge in advice are for pension planning (56%), early retirement (54%), part or phased retirement (53%) and accessing their pension at the point of retirement (53%).

Financial adviser, Matt Pathmanathan, who works for AMG Wealth Solutions, commented: “In my whole career, I have never received so many enquiries from those in their fifties as over the last 18 months. The pandemic has given this age group an opportunity to get off the hamster wheel of life and take stock, providing them with unprecedented time to think about their futures and their retirement plans.

“Whether they are enjoying their job or not, those aged over 50 are considering all options – how many years they have left before retirement, and for some even whether they can retire early. We help clients make sense of it all, acting as a kind of comfort blanket in helping them make decisions with a full understanding of the financial ramifications.”

Scottish Widows also reported growing interest in green and ethical investments among over-50s, with more queries about investments in ‘green’ companies (44%) and ethical issues (42%).

The pandemic has also prompted many over-50s to reconsider their retirement plans altogether. The study found that 46% of respondents say more employees in this age bracket are asking about taking a phased approach to retirement, while the same proportion (46%) have seen an increase in requests to delay their planned retirement date.

Scottish Widows head of intermediary distribution, Siobhan Barrow, said: “A sudden shift in financial status can often feel overwhelming. Money worries cause people to experience difficulties in lots of areas in their lives, from their physical and mental wellbeing to their personal relationships. Even those seeing an unexpected uplift in wealth may be confused about how they should feel and respond.”

She added: “It’s encouraging to see many over 50s open enough to speak to others and take positive action, like increasing pension contributions. Your fifties is the critical time to get finances organised and we must ensure more people, of all ages, feel comfortable seeking out professional advice.”

    Share Story:

Recent Stories


FREE E-NEWS SIGN UP

Subscribe to our newsletter to receive breaking news and other industry announcements by email.

  Please tick here to confirm you are happy to receive third party promotions from carefully selected partners.


The new episode of The Mortgage Insider podcast, out now
Regional housing markets now matter more than ever. While London and the Southeast still tend to dominate the headlines from a house price and affordability perspective, much of the growth in rental yields and buyer demand is coming from other parts of the UK.

In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance.

Air and the role of later-life lending
Content editor at MoneyAge, Dan McGrath, spoke to the chief executive officer at Air, Will Hale, about the later-life lending industry, the importance of tailored advice and how technology and obligations have shaped the sector.


Helping the credit challenged get mortgage ready
A rising number of borrowers are finding it harder to access mortgages due to being credit challenged - whether that’s from historic debts, a county court judgment, or having little to no credit history.

In the latest episode of the Mortgage Insider podcast, Phil Spencer is joined by Eloise Hall, Head of National Accounts at Kensington Mortgages, and Alastair Douglas, CEO of TotallyMoney.

The future of the bridging industry and the Autumn Budget
MoneyAge content editor, Dan McGrath, is joined by head of marketing at Black & White Bridging, Matt Horton, to discuss the bridging industry, the impact of the Autumn Budget and what the future holds for the sector.