Picking through the guidance guarantee small print

Finally some details on the guidance guarantee. Soon-to-be pensioners will receive independent guidance from April 2015, as the government clarifies the guidance guarantee announced in this year’s Budget.

The delivering partners at launch will include The Pensions Advisory Service and the Money Advice Service. In a recent editorial, we predicted TPAS would have a leading role in delivery of the guidance. 

“The government welcomes expressions of interest from a range of trusted consumer-facing organisations, including Citizens Advice and Age UK,” chancellor George Osborne said in the written ministerial statement.

Michelle Cracknell, chief executive officer of TPAS, said in a press statement that "a personalised conversation with someone who understands the issues affecting people as they come close to retirement can be life-changing".

The preparatory work will cost the government £10m, and the Treasury is seeking approval for a further £10m. The guarantee will also be funded by a levy, payable by "regulated financial services firms and those operating in the pensions market".

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