But it isn’t just the regulation that’s the problem, Mann said. Financial advisers are also to blame for creating barriers to long-term financial planning options.
Only 22% of advisers make their services available to clients of any wealth level, according to a study from IFA research group Unbiased.
The same study revealed that the standard hourly fee for a financial adviser in the UK was £150, with initial reviews costing between £500 and £1,500 depending on the complexity of the advice sought.
Financial service manufacturers similarly “have a large role to play in bringing products and services to their customers”, said Mann, adding the “understanding of the client should go through all of the parts of the value check.”
Momentum UK’s managing director Samantha Seaton, also at the roundtable, added: “We must find a way to make the economics work so that financial advice is available to the mass market for the right price.
“Most industries have already evolved and adapted but in the financial planning sector we’re still waiting for innovation to fully pave the way for this.”
