With the Spending Review behind us, the real work involved in implementing the cuts can begin.
Anyone hoping that the Spending Review would show how they, their businesses or clients were going to be affected by the cuts will be disappointed. The detail will take weeks to filter through and only then will individuals have some idea about what it will mean to the pound in their pocket.
In financial services we talk about the needs and circumstances of clients, and the Spending Review is going to impact both.
There will not be a single client who is not negatively impacted by the cuts, and with the government anticipating 500,000 public sector job losses plus changes to the welfare system, many are going to see a shift in their finances.
These economic times do more than suggest a greater need for advice. Advisers have a duty of care to clients, not just to offer their services in such changing times, but to help them understand what may be coming over the horizon.
For example, how will the changes to child benefit affect their family finances? If their situation changes, how can they meet their financial commitments while protecting themselves and their future?
We are beyond offering simple mortgage advice here. If advisers want to prove their worth and grow their client base, they must service the needs of these customers effectively – directly or through appropriate referral processes.