Expert calls for SIPP redefinition ahead of cap ad changes

In light of concerns around preparedness for capital adequacy requirements

Nicola Brittain
clock • 2 min read

A report detailing adviser concerns around preparedness for capital adequacy has led to calls from industry experts for a redefinition of the self-invested personal pension (SIPP) that better reflects trends in the market.

A report from Momentum Pensions, which questioned 101 financial advisers, found that 45% of specialist retirement advisers are concerned that their SIPP providers will not be able to meet the requirements. The rules, to be implemented in five months' time, state that the minimum capital holding needed to trade in SIPPs is £20,000 and providers will be required to set aside further funds depending on the volume of non-standard assets. The report is likely to be referring to the sort of non-standard SIPPs traditionally bought off-platform from specialist boutique advisers, but if it is ...

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

A decade on: Risks and challenges of freedom and choice

A decade on: Risks and challenges of freedom and choice

'Let me be clear: No one will have to buy an annuity'

Adrian Boulding
clock 25 November 2024 • 6 min read
How retirement planning has transformed over the past 50 years

How retirement planning has transformed over the past 50 years

PPI report looks at the move from predictable pensions to personal responsibility

Jonathan Stapleton
clock 21 November 2024 • 3 min read
Act now: Planning for retirement is a concern for today

Act now: Planning for retirement is a concern for today

'Don't wait until tomorrow to think about retirement'

Andrew Tully
clock 20 November 2024 • 4 min read