The proportion of savers accessing a pension for the first time using regulated advice has fallen to less than a third according to the latest FCA figures.

Of the 962,000 pension plans that were accessed in 2024-25, only 31% were taken after receiving regulated advice.

Most significant, because of the extra costs, complexity and risk, are the 350,000 drawdown plans accessed for the first time, where only 45% were taken after receiving advice.

That compares to 66% in 2018-19 and shows a falling trend for six years in a row, according to retirement specialist the Just Group, which analysed the figures.

The number of pots accessed after using the government’s guidance service Pension Wise only accounted for one in 10, 11%, of pots accessed.

Stephen Lowe, group communications director at Just Group, said: “The figures show a 9% rise in pensions accessed to 961,575 which was largely driven by a 25% rise in drawdown plans to 349,992.

“While the numbers accessing pensions and using advice are up, the proportion of customers using advice has fallen for each withdrawal option since last year. The downward trend in use of advice for drawdown over time is particularly obvious and should be seen as a red flag.”

He said it is important that customers go into drawdown with their eyes open about the need to manage withdrawals to navigate the investment and longevity risk.

He said understanding these risks will help them improve the probabilities that their savings continue to deliver the income needed to last throughout their retirement.

Mr Lowe added: “Retirement decisions are some of the trickiest financial decisions that people will ever face. It’s worrying that most pensions accessed – nearly six in 10 – are taken without professional advice or guidance.”