The National Association of Pensions Funds (NAPF) has published new research into pension savers plans under the new Pension Freedom reforms.

The research found 70% of the 2.2million people aged 55-70 with approximately GBP175bn in defined contribution (DC) pension pots were attracted to drawdown.

This implies a potential market of 1.5million investors and between GBP50bn and GBP100bn in assets.

NAPF chief executive Joanne Segars, said: "While all savers can still transfer from their pot from a scheme or buy an annuity, many are frustrated at what they perceive as lack of the promised flexible options, such as drawdown."

Segars went on to say that the NAPF was concerned with the assumptions they found people have around drawdown, believing it to offer guaranteed income and one quarter assuming it carried no risks at all.

"We want to see all savers, including those with smaller pots, offered the full freedom and choice promised to them by the chancellor in his 2014 Budget," she said.

The NAPF identified three steps it says the government must take to achieve this freedom:

1. Government must ensure there are no barriers to a market where good value products are available to savers with pots of all sizes, large and small

2. Support the development of standards by which trustees can evaluate whether products offer quality and value for money to their members

3. Company pension schemes and Pension Wise must be enabled to clearly signpost savers to the products that meet these standards.

Segars said: "For freedom and choice to happen we have to see a market develop that works for all savers, with products that are transparently priced and offer value for money, designed to help them navigate the twenty or thirty years during which they will rely on their pension savings."

First published 16.07.2015

Lindsay.sharman@wilmingonplc.com