A J Bell has amended its terms and conditions to allow it to pass on FSCS levy costs to investors.
The pension provider’s old rules stated that terms and conditions could vary if there were changes in regulatory requirements, including fees levied by the FSCS and the FSA.
Following consultation with IFAs, the firm has made clear in its documentation that costs associated with such levies could be passed on to customers through a one-off charge.
A J Bell marketing director Billy Mackay says the firm has “no plans” to apply any charge at this stage.
He says: “The reality is that if we’d had to continue absorbing levies of this kind it would inevitably lead to an increase in fees. From the discussions we’ve had with IFAs and clients, we think they’d rather avoid that.
“So rather than increasing fees over the longer term, we’ve reserved the right to apply a one-off charge but there are no plans at this point to apply any charges.”