The pensions sector will continue to digitalise in 2021 to meet growing client demand, says iPensions Group.
The firm said the impact of Covid-19 has sped up the digital transformation of the sector and helped to reduce costs and risks for providers, placing pressure on firms relying on outdated legacy systems.
iPensions Group warned that the SIPP industry will continue to see consolidation through 2021, leaving firms which have not adopted new technology struggling and highlighting the need for businesses to consider strategic partnerships including sharing technology platforms.
The SIPP provider also raised the issue of the rising cost of Professional Indemnity cover, citing it as a major challenge for providers already under pressure to prioritise investment in new technology.
Sandra Robertson, CEO, iPensions Group, said: “Covid-19 dominated last year and those businesses which adapted quickly and looked after the wellbeing of their people were the ones that could continue to trade successfully whilst tackling the challenges of the pandemic. There is a real opportunity in 2021 for forward-thinking companies to build upon their experiences and innovate further for the benefit of clients and advisers.
“More needs to go online and happen digitally as technology will help advisers to do business more efficiently and become the new normal post-Covid. People want instant information but also personal service and the key to retaining clients is combining that well with technology.”