Pensions tax “simplification” has swamped the industry, with a 400 per cent increase in technical guidance and nearly double the number of pages of legislation that existed before A-Day.Standard Life says Revenue & Customs has broken promises to sweep away hundreds of pages of pension legislation and almost 1,000 pages of guidance. It has also failed to live up to its pledge in the 2004 Finance Act which stated that 151 pages of primary legislation, together with an expec-ted 100 pages of secondary legislation and about 350 pages of guidance would replace over 350 pages of primary and secondary legislation and nearly 1,000 pages of guidance. But Standard says the reality is that the industry has to grapple with 541 pages of legislation compared with 350 before A-Day and 1,369 pages of technical guidance compared with 1,000 before A-Day. Head of pensions policy John Lawson says: “By the time all the tax simplification legislation is in place for the new regime, there is likely to be over 600 pages of legislation, nearly double what we had covering eight tax regimes before April 2006. On top of that, we have at least 1,500 pages of technical guidance a 400 per cent increase on what was envisaged two years ago. Simple? Hmmm.”
The markets in financial instruments directive could prevent IFAs from giving the best advice to clients and outlaw any exposure of low-risk clients to high-risk investments, say lawyers. Eversheds partner Matthew Allen says advice could be deemed inappropriate under Mifid, even if the firm has fulfilled all suitability and know your customer requirements and discussed […]
Flexible benefits platforms are becoming increasingly popular, with 80% of employers with more than 100 employees offering some form of flexible benefits scheme, compared with just 11% a decade ago. However, global mobility of employees is on the rise, with nearly 57 million expats predicted by 2017, which can add further complexity to your picture.
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The Government should make it easier for advisers to sell products that blend income drawdown with insurance to meet future care costs, according to former pensions minister Steve Webb. A paper published today by Royal London calls on the Government to introduce policy changes which allow new products to be created that pay for long-term […]
Independent governance committees at big-name pension providers are failing to safeguard the interests of savers and the FCA must take action, fresh research finds. In 2015, the FCA required contract-based pension providers to appoint IGCs to act as champions of savers’ interests. IGCs are required to publish annual reports to increase transparency and encourage comparison […]
The FCA is reviewing the content of its pension transfer specialist examination standard in light of recent issues with pension transfer advice, Money Marketing understands. The regulator does not offer qualifications but it does have a role in setting standards for exams and publishes “appropriate examination standards” guidance. Money Marketing understands a working group, mostly […]