View more on these topics

ABI wants Govt rethink on NRE cap

The ABI is writing to members of its pensions forum market regulation committee compliance panel urging them to lobby the Government over protecting high earners&#39 pension contributions from the effects of inflation.

Under the new pension framework introduced in April, the Inland Revenue does not intend to allow the cap on net relevant earnings to keep pace with inflation as earnings increase. This means that policyholder contributions are fixed for five years on net relevant earnings at outset. Even if that NRE figure exceeds the earnings&#39 cap in latter years, contributions for the next five years will still be restricted by the basis year of the earnings&#39 cap.

The alternative to this is nominating the latest year as the basis year to get round the impact of inflation if the member earns more but the ABI says this presents more of an admin burden to its members.

The letter states: “The ABI&#39s argument is that in view of the policy intention of simplification, the Revenue should allow for updating in line with the earnings cap.”

A life office spokesman says: “It would be a good idea for the Revenue to reconsider the inconsistent approach.”


Pinnacle takes the online route

Pinnacle Insurance is joining the online insurance bandwagon with the introduction of Helpupay.Helpupay is a mortgage payment protection insurance (MPPI) product and is aimed at all mortgage borrowers, as long as they are working for a minimum of 16 hours a week.Although the plan is available online, it can also be taken out by phone […]

Standard Life Bank releases new mortgage

Standard Life Bank is launching a new mortgage which pays off 1 per cent of the outstanding capital every two years for the life of the loan. Aimed at retaining existing borrowers, the mortgage has a variable rate of 6.45 per cent and is available as repayment, interest-only or a combination of both. Borrowers are […]

PIA terminates IFA membership because of forgery

The PIA has terminated the individual registration of Christoper David Cundell, a director with the IFA Wilman & Lodge Financial Services of 12 Otley Street, Skipton, North Yorkshire. Cundell forged the signature of a client on a document he submitted to the PIA Ombudsman. He did so without the client&#39s knowledge and with the ultimate […]

Holding Firm

I am a shareholder with two colleagues in a limited company. Recently, we have heard about a scheme that provides funds for the remaining shareholders to purchase shares on the death of another of the shareholders. Could you tell us more about this? This type of arrangement is usually referred to as shareholder protection and […]

Inheritance Tax, a tax on the wealthy? Urban myth or fact?

By Kim Jarvis, Technical Manager with Canada Life’s ican Technical Services Team. Inheritance tax has been around in some form since 1796. Estate duty dates back to 1894 and over the years this tax has evolved into the inheritance tax (IHT) we know and love today, which was introduced in 1986 as a replacement for […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm