Furloughing financial advice?


This blog has been furloughed

About henry tapper

Founder of the Pension PlayPen,, partner of Stella, father of Olly . I am the Pension Plowman
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7 Responses to Furloughing financial advice?

  1. Mark Meldon says:


    Since the ‘lockdown’ started, Aviva has swiftly settled a small life assurance claim for a client, AEGON has paid out a substantial critical illness insurance claim, my preferred SIPP provider (Cabot Trustees Limited) has settled a ‘redesignation’ of the benefits for a new widow, and I have arranged a new life and critical illness insurance policy with Aviva. Also, the main platform I use, 7IM, is functioning normally (with the odd delay in transferring assets), clients receive an email letter from me on various subjects each week and Royal London operate client drawdown pensions smoothly. A new client with a 20-year old SIPP administered by EBS Pensions in Leicester has received his tax-free cash and a few new enquiries have come in, too.

    The ‘industry’ I work in continues to function very well – far better than I had expected, much to my clients advantage, so ‘thank you’ to all the firms mentioned, most of whom are working from home.

    All from my dining room.

  2. John S Mather says:

    New Model is often quoted. Has anyone ever seen it? Has the model been tested or like Brexit is it just a name on a box that no one has opened.

    Our advice firm has added new clients repaired a SSAS damage by expensive lawyers and designed low cost but effective equity holding structure. We have no intention of “bouncing back” we will continue to move forward with an adjusted plan for the new challenges that clients face.

    If the IFA community is decimated then follow the money to find out who benefited and why it is desirable to replace advice with a non existent “dashboard” rather like the other oxymoron”care in the community” useless as can be seen by how successful pensions have been in the last 50 years.

    Our society is encouraged to borrow to consume while those who know enjoy uplifted benefits share buybacks and executive share schemes delivering more in a year that the average worker earns in a lifetime

  3. Mark Meldon says:

    For what it is worth, I do feel a big change is coming to IFA’s, many of whom seem to base their revenue stream on the value of a client’s portfolio (percentage cuts, in other words). I have always felt that this creates a clear conflict of interest. I prefer fixed fees/hourly rate, as I believe this is rather more transparent, albeit not perfect.

    People are going to emerge from this crisis both poorer and shocked, to paraphrase Dr Tim Morgan. With incomes impaired, savings depleted, pension funds battered, and debts increased, I anticipate far greater conservatism from consumers, not least because they will not know (a) whether the coronavirus threat has really gone away, or (b) whether another such event awaits them.

    I hope, and foresee, a resurgence of what Dr Moshe Milevsky calls the ‘optimum retirement income product’ – the annuity – a decline in probabilities-based retirement income – drawdown – and a reluctance to venture much into the risk markets, rightly or wrongly.

    We shall soon see.

  4. Hayley North says:

    This article is not a fair representation of my position and I respectfully ask that it be removed.

    • henry tapper says:

      Hayley, earlier versions of this blog contained comments you made on a forum and though critical of me, I included them. The main point of this article is about furloughing advisers and support staff and this blog remains relevant to that issue without mentions of you and your posts.

      I’m taking down comments from my blog because they are causing you distress, I am pleased to see that the comment thread from which they are taken has also been taken down.

      However the principle of quoting posted information needs to be maintained , we are all accountable for what we say!

      • Phil Castle says:

        Henry, you say “we are all accountable for what we say!”, the problem wasn’t with what Hayley said, she was accountable for it, it was the faceless men who were not accountable as a result of using made up names which was disgusting and morally repugnant.

  5. Phil Castle says:

    There are four of us in our firm. Two advisers and two admin staff. We furloughed one staff member on full pay even BEFORE the name existed and the second one by their own choice as he needed to stay at home and look after his 2 under five year olds whilst his spouse (a nurse) did extra shifts.
    The work needed to be done for clients has gone UP, which has meant the two of us still working are doing more (despite one have 2 children, one under 5) WE are not getting paid anymore so our hourly rate has gone down.
    AS a firm we will be claiming the 80% under the furlough scheme, not because we need it now, but because we don’t know if we might need it later in the year and you can’t claim later (we both have personal guarantees to the company). If we feel guilty that we have earnt too much later in the year, then, and only then will we decide whether to pay more to charity and to support the various community groups we already do.
    It’s easy to sermonise behind a made up name as people did when Hayley North commented, hence why I posted agreeing she was being bullied by people who didn’t have the decency to stand up for their own comments by putting an accountable real name against them. I will be hung drawn and quartered for my beliefs, but I will not by faceless men.

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