One in two people would use targeted support if available, new research from Dynamic Planner has found.
The research, which surveyed 1,000 people across the UK, found 52% would use targeted support if available, increasing to 62% among those aged 25-44.
In addition, 67% of people felt that targeted support would make it easier for them to get help with financial decisions and more than half (56%) felt targeted support would meet their needs.
Dr Louis Williams, head of psychology and behavioural insights at Dynamic Planner, said: “Taking advantage of targeted support will be particularly beneficial for those who are unaware of the positive impact small changes to managing their finances can make, who feel they have too little to invest or that financial advice isn’t worth the cost.
“Humans are hardwired to avoid risk, and it’s all too easy to put off thinking about things to another day. But our research shows that even after a simple introduction to the concept of targeted support, people felt more informed and comfortable about what to do – with a little bit of direction in the right way, the inertia begins to fall away.”
People most likely to use targeted support were found to be younger, with medium risk levels and lower levels of wealth, while those with higher levels of wealth felt it would be less beneficial. People with an investment risk profile of 6 were shown to be most keen to use targeted support.
The research also highlighted the benefits of financial advice, with those receiving financial advice in the past 12 months more likely to have confidence in their abilities to manage finances and feel knowledgeable about financial matters. In contrast, those who had never accessed financial advice find it more difficult to make progress with finances and worry about running out of money.
Dr Philip Courtenay, founder of behavioural consultancy Humans and Money, said: “It’s encouraging to see that consumers are open to targeted support and the value it can bring. But we also know that simply telling people what to do rarely shifts financial behaviour. If firms want to deliver targeted support that works, they must remove the behavioural barriers that hold people back from acting. This means instilling trust, stripping out complexity, and tackling the anxiety many people feel when it comes to changing the way they act with their money.”
