Government proposals for social care merit further consideration – but system remains highly complex and may lead to significant costs for individuals

7 September 2021

Government proposals for social care merit further consideration – but system remains highly complex and may lead to significant costs for individuals

Tim Fassam, Director of Government Relations and Policy comments:

“It is absolutely right that the Government seeks to address the ongoing crisis of social care funding in the UK. We believe that the proposals put forward today merit some further consideration; the more generous means test and cap on the amount people will have to contribute to their own care in old age are both welcome.

“However, the care system remains highly complex and may still lead to significant costs for individuals.

“Obviously, no proposal put forward will be perfect. Most people are reluctant to think about the final stages of their life and therefore put off planning for it. But the need to plan for social care is increasingly an issue that financial advisers and wealth managers are helping existing and new clients with and those that receive advice early are likely to find they are more comfortable in later life.

“The Government and the Regulator should recognise the unique role that the financial advice and wealth management industry are playing in addressing the UK’s care crisis.  We would urge the Government and the Regulator to work closely with us and this industry to explore ways in which far more people can access financial advice in a cost-effective manner to help them prepare for the potential challenges of later life and safeguard their financial and mental wellbeing.”

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About PIMFA – the Personal Investment Management & Financial Advice Association

• PIMFA is the trade association for firms that provide investment management, investment services and advice to everyone from individuals and families to charities, pension funds, trusts and companies.
• The sector currently looks after £1.65 trillion in private savings and investments and employs over 63,000 people.
• PIMFA represents both full and associate member firms. Full members provide a range of financial solutions including financial advice, portfolio management, as well as investment and execution services. They assist everyone from individuals and families, to charities and pension funds, all the way to trusts and companies.  Associate members provide professional services to the PIMFA community.
• PIMFA leads the debate on policy and regulatory recommendations to ensure that the UK remains a global centre of excellence in the wealth management, investment advice and financial planning arena. Our mission is to create an optimal operating environment so that its member firms can focus on delivering the best service to clients, providing responsible stewardship for their long-term savings and investments.
• PIMFA has made numerous recommendations to the FCA regarding the Future of Advice, the Future of Supervision, & the FSCS levy – read more.
• PIMFA was created in 2017 as the outcome of a merger between the Association of Professional Financial Advisers (APFA) and the Wealth Management Association (WMA) with a history as a trade association since 1991 – read more.
• Further information can be found at pimfa.co.uk

Contact

For further information on this release or other press matters please contact:

Matthew West, PIMFA PR Manager – MatthewW@pimfa.co.uk, +44 (0)20 7382 0376 / +44 (0) 7843 903258

Sheena Gillett, PIMFA Communications & PR Director – SheenaG@pimfa.co.uk / +44 (0)7979 493225