Helena Wardle, CEO, Money Means, Talks About The Advice Gap
According to research by the FCA, only 8% of adults in the UK reported taking any form of financial advice. To put this into perspective, that’s around 4 million consumers. That leaves 50 million of us receiving no form of financial advice.
This so-called ‘advice gap’ has been with us for a while. Over the years, we’ve seen the industry react in various ways; Robo advice promised much but in large, has merely scratched the surface. We have also seen the phenomenal rise of self-service offerings such as Hargreaves Lansdown. And in more recent times, reasonably high-profile launches of ‘low-cost’ advice propositions from the likes of Vanguard. But are these offerings really aimed at addressing the advice gap or are they all simply chasing the same 4 million consumers that are typically the more affluent, older, and more financially sophisticated among us?
Financial advice firms are commercial entities so need to make profit, so how can they service the 50 million who are maybe not so well off as the 4 million? And what about those adults that need basic help with budgeting, spending, and borrowing? Do product providers, the regulator, and government have a future role to play?
The Money Means book
Helena Wardle is a Chartered Financial Planner, an entrepreneur, and an author. In support of Money Matters, Helena has written a book; Money Means more than numbers. Whether you’re a potential customer of Money Means or a seasoned financial planning professional, the book is a great read, we highly recommend you grab yourself a copy. Click here to order your copy.