After more than a year of speculation and discussion, earlier this week the new pension freedoms finally came into effect.
After a relatively quiet start – well, it was Easter Monday after all – many pension providers are reporting higher than average call volumes from customers, suggesting employees are engaging with the new freedoms and, at the very least, are interested in finding out more about their options.
And, as far as I’m aware, we haven’t yet seen the predicted rush of people eager to trade their pension fund in for a Lamborghini.
According to several providers, while pension scheme members appear keen to take advantage of the new options offered by the reforms, those that are looking to fully cash in their pension are typically looking to maximise small pots, rather than fund extravagant purchases.
Only time will tell if this is actually the case though – and I’m sure it won’t be too long for the first pension pot to be invested in a sports car to hit the headlines.