When the chancellor first announced plans to lift rules forcing pensions savers to buy annuities in 2014, much was made of the fact a generation of pensioners could go and splurge their pension pots on Ferraris.
But two months after savers were given access to their pensions, Hargreaves Lansdown has said people are being eminently sensible about their new-found freedoms.
The financial adviser, one of the UK's largest pensions and drawdown companies, reported lower-than-expected withdrawals over the last couple of months.
"Clients appear to be using the [new] freedoms extremely sensibly, further evidence of the wisdom of trusting the British public with their own money," it said. It added it had been well positioned to cash in from the new rules.
But shares in the company fell 3.76 per cent to 1,231.89p as it reported a £2.5m increase in the financial services compensation scheme levy, plus a £3.5m one-off cost of bringing foreign exchange trading income in-house.