The vast majority (90 per cent) of Pension Wise users felt that they were well informed about their options for accessing their pension pots after an appointment or using Pension Wise resources, data from the Money and Pensions Service (Maps) has revealed.

The survey, which polled of 327 telephone appointment customers and online users four months after their interaction, found that 65 per cent of Pension Wise users also said that the service had made them “considerably” more likely to feel well informed than non-users.

Nearly all (94 per cent) of Pension Wise users were also confident they could avoid a pension scam, compared to 88 per cent of non-users.

The findings suggested that Pension Wise is also prompting users to take financial actions, after revealing that a considerable amount of telephone appointment customers (70 per cent) and online users (65 per cent) had ‘calculated how much income they’d need in retirement’.

In addition to this, 59 per cent of telephone users and 49 per cent of online users had ‘spoken to their pension provider about their pension pot options’, while 36 per cent of telephone users and 31 per cent of online users had consulted a financial professional in the following four months.

This compared to just 36 per cent, 20 per cent, and 22 per cent, of non-users ever having taken these actions, respectively.

In addition to this, the research showed that just over half (57 per cent) of telephone appointment users and 44 per cent of online users had changed how they accessed or intend to access their pension.

The results come after the Financial Conduct Authority released its latest Financial Lives report last month, which showed around 525,000 of the 1.5 million people (35 per cent) accessing a defined contribution (DC) pension in the last four years had used Pension Wise.

In light of the findings, Maps argued that now is the time for people over 50 to consider using Pension Wise as they begin to plan how they will access their pension pots, stressing the need to reach even more of those who aren’t using it in case they need its help and guidance.

Maps pension operations service lead, Lynsey Oliver, stated: “Planning for the future and deciding how to access your pension can seem daunting, but it’s never too early to take that first step. If you’re over 50, it’s really important to examine your options and feel prepared for what’s next.

“Our service helps people feel informed, make good decisions and be even more wary of scams. Only one in eight people accessing a DC pension do so without any information or advice, whereas a third have used Pension Wise in the last four years alone.

“However, there will always be more we can reach and we’re urging all over 50s to consider using a service like ours. It really can make all the difference long term and we’re here to help anyone and everyone who needs us.”

Pension Wise resources are available to anyone over 50 and offer guidance on taking money from a pension pot, as well as explanations on how a pension is taxed and how to look out for scams, with both personal telephone appointments and online resources available.

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