OFT pension audit could hit provider business and 'affect current charges'

clock

The audit of legacy pension scheme charges could hit provider business and affect the current level of charges being offered on auto-enrolment schemes, according to a consultant.

The nine-strong independent project board (IPB) leading the Office of Fair Trading (OFT) review into legacy defined contribution (DC) schemes was revealed last week. The group - made up of industry heavy weights - will work under the chairmanship of Carol Sergeant.Pension consultant Punter Southall said it remains unclear what action will be taken at the end of the review, and how the reform of old, high-charging schemes could affect current schemes offered under auto-enrolment. Principal Alan Morahan said schemes take up to a decade to become profitable meaning the low prices on offer f...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

FCA unveils final pensions dashboards rules

FCA unveils final pensions dashboards rules

The FCA has shared its regulatory framework for pensions dashboards service firms

Holly Roach
clock 11 November 2024 • 4 min read
IHT pensions changes expected to drive 'strong interest' in annuities

IHT pensions changes expected to drive 'strong interest' in annuities

Though ‘ambiguity’ persists on annuities treatment, retirement planning expert says

Jen Frost
clock 04 November 2024 • 3 min read
Budget end to overseas pensions 'loophole' could cause 'chaos'

Budget end to overseas pensions 'loophole' could cause 'chaos'

OTC applies to more transfers under changes

Jen Frost
clock 31 October 2024 • 2 min read