Breaking down barriers to financial planning

Financial planning can be an important aspect of managing our lives, yet many individuals face barriers that prevent them from engaging in this valuable process.

During Mental Health Awareness Week, it's essential to highlight how financial planning could alleviate stress and improve overall wellbeing. For our Money and Mind Report 2025, we surveyed 1,000 UK adults aged 35 years and above to understand their feelings about finances, the impact on their wellbeing, and what actions they plan to take to actively manage their finances in the future.

Our findings show that many people are worried about their finances, which is affecting their mental wellbeing. Most turn to loved ones for support rather than professionals, and many are struggling with basic needs like food and bills. However, there's a growing awareness and willingness to make financial plans, despite barriers like thinking they don't need help, concerns about costs, and not knowing where to start. This highlights the importance of accessible and affordable financial advice to help people manage their money better.

Let’s delve into the findings, exploring the likelihood of individuals engaging in financial planning and the obstacles they encounter.

A positive trend towards financial planning

Our Money and Mind Report highlighted a promising trend: a significant portion of our survey respondents are inclined towards making a financial plan. Specifically, 37% of respondents are somewhat likely and 18% are very likely to create a financial plan. This indicates a growing awareness of the importance of proactive financial management.

However, 23% of respondents remain neutral, neither likely nor unlikely to make a financial plan, suggesting that there is still work to be done in encouraging financial planning.

Download our Money and Mind Report

Barriers to financial planning

Despite the inclination towards financial planning, several barriers prevent individuals from taking this important step. Understanding these barriers is key for developing strategies to overcome them.

Perception of cost

One of the most significant deterrents is the perception that financial planning is costly. According to our research, 31% of respondents cited this as a barrier. Interestingly, women are more concerned about the cost of financial advice than men, with 29% highlighting this as a barrier compared to just 17% of men. This disparity could be attributed to the fact that women, on average, tend to earn less than men and have longer life expectancies, leading to greater financial uncertainty and a heightened sensitivity to potential costs.

Self-reliance and cultural norms

The biggest barrier to financial advice for men is the belief that they do not need help with their finances, with 39% giving this as a reason compared to just 21% of women. This could be because men feel a greater sense of responsibility and pressure to handle financial matters independently. Additionally, cultural norms may lead men to perceive seeking financial help as a sign of weakness or inadequacy, further deterring them from pursuing professional financial planning.

Yet, most of us wouldn’t attempt to rewire our house or fix a leaky pipe without the expertise and guidance of a professional, and the same is true of financial advice. Our qualified advisers are salaried and so won’t recommend a product or action unless it’s right for you. They also have access to a range of experts if your plan calls for support via our partnerships with Schroders and Lloyds Banking Group.

Age-related differences

Interestingly, the ‘I’ll do it myself’ line of reasoning seems to be more prevalent among the older generation compared to younger individuals who are more inclined to seek financial advice from professionals. Only 26% of individuals aged 35 to 54 stated that they did not need help with their finances, in contrast to 36% of those over the age of 55. This suggests that younger individuals may be more open to seeking external advice and support.

Misconceptions about financial planning

Another common barrier is the belief that financial planning is only for the wealthy, as indicated by 22% of respondents. This is a widely believed myth, yet we believe that financial planning is beneficial for individuals at all income levels. Addressing this misconception is vital to making financial planning accessible to everyone.

Overcoming barriers: Making financial advice accessible

Damian Goodall, a Personal Wealth Adviser at Schroders Personal Wealth, emphasises the importance of making financial advice accessible and affordable. He states:

"Cost should not be a barrier to accessing financial advice. At Schroders Personal Wealth, we begin with a free, no-obligation conversation to understand if our service is right for you. From there, we will build you a personalised financial plan that takes into account your current situation, future goals, and maps out how you could aim to achieve them. There are no hidden fees or charges, and you’ll only pay if you choose to proceed.

Additionally, we understand that people are often concerned about being sold products they don't need. Rest assured, all our advisers are salaried, so they have no requirement to recommend any products other than those they believe are best suited to your needs. It’s why I’m proud of what I do. We want to improve the way financial advice is offered, by making it simple, accessible, and affordable to more people. For us, it’s about more than just financial advice – we want to change lives."

The path forward

As we observe Mental Health Awareness Week, it's important to recognise the role of financial planning in reducing stress and improving mental health. By addressing the barriers to financial planning, we can help more individuals take control of their financial futures. Whether it's dispelling myths about the cost of financial advice, encouraging men to seek help, or making financial planning accessible to all income levels, these efforts have the potential to lead to a healthier, more financially stable society.