Financial advice remains underused at critical financial milestones across protection, mortgages and retirement, according to a new study.
Less than half (46%) of people who have owned a home sought professional advice when buying.
Less than a third (32%) spoke to an adviser when arranging private protection cover.
Shockingly, just 11% of those working or studying have taken retirement advice so far, according to the research from fintech Iress.
More than a third (35%) of respondents who have not taken financial advice believe they would benefit from it, indicating major opportunities for Financial Planners to explore.
The Iress Financial Readiness Index shows that while many people feel confident about their finances, far fewer are properly prepared.
With an overall score of 44.2 out of 100, the UK sits in the ‘financially uncertain’ category, yet almost half (46%) of respondents believe they are financially secure.
Iress said the disconnect between confidence and reality shows that the advice gap remains a significant challenge for the UK advice sector and points to the vital role played by Planners in helping clients better understand their financial position.
Younger adults show the greatest openness to advice, with 50% of those aged 18 to 35 saying they would benefit from it, nearly double the proportion of those aged over 55. However, engagement typically happens much later in life, with many consumers delaying advice until their fifties.
The financial services industry also faces a lack of engagement from groups that are often the lowest in confidence about their financial position. Among respondents who feel very confident in their financial position, 40% believe advice would be beneficial.
That falls to 25% among those with the lowest confidence, suggesting Planners may need to rethink how they communicate value to more disengaged groups.
Across all areas of Financial Planning, the research shows a consistent pattern of delayed engagement. Many people will reach key milestones such as home ownership or retirement later than expected, and underestimate what is required to achieve those goals.
More than two-fifths (43%) of those planning to seek retirement advice intend to do so after the age of 50, by which point options to improve outcomes are more limited. The data also shows that a significant proportion of over-55s have relatively low levels of retirement savings, reinforcing the consequences of late engagement.
Alistair Morgan, Iress’ UK chief executive officer, said: “While many people feel confident about their finances, the index shows that confidence does not always reflect reality. For advisers, this validates the opportunity to engage earlier, help clients build stronger financial foundations and improve long-term outcomes.
“The challenge for the industry is not just access to advice, but timing. Supporting clients at the right moment, particularly around key life events, can make a meaningful difference to their financial resilience.”
• The online survey was completed by YouGov Plc on Iress’ behalf, among 2,103 UK adults. Fieldwork was undertaken between 10-13 October 2025. The survey was carried out online. The figures have been weighted and are representative of all UK adults (aged 18+). Additional analysis and benchmarking was independently carried out by the Lang Cat.