The latest FCA data on the retirement income market shows that DB to DC transfers more than halved in 2023/24 falling to 7,181 from 18,080 in 2022/23.
In reaction, Brian Nimmo, head of Redress at leading independent consultancy Broadstone, said: “The marked fall in the number of DB to DC transfers continues.
“Rising gilt yields will have had an impact on the attractiveness of a transfer value but the main driver will have been the impact that regulation has had on the regulated market which has led to a large fall in those willing to advise in this area.
“The question surely has to be whether this has led to an over-retraction in the market which has led to many who have genuine and good reasons to wanting to transfer being unable to do so.
“Protecting consumers is clearly a desirable outcome though effectively reducing choice and the ability to access good advice is the price being paid.”
