View more on these topics

Aifa set for Treasury clash

Aifa is on a collision course with the Treasury after urg- ing advisers to continue recommending alternatively secured pensions to clients despite warnings from the Treasury that it will scrap Asps if they do.

The Treasury is now considering all options to ensure that Asps are used exclu- sively for religious groups with moral objections to annuities but admits that it cannot enshrine this in legislation because it would violate European anti-discrimination laws.

But Aifa deputy director general Fay Goddard says advisers should not bow to Treasury pressure. She says: “If Asps are legal, then advisers should offer them if they are suitable for their clients.”

A Treasury spokesman responded by repeating the warning that the department would clamp down on any abuse and refused to rule out retrospective action.

But Treasury threats have not been echoed by the FSA and the Financial Ombudsman Service, which are both refusing to condemn adv- isers for not restricting Asps on religious grounds.

An FSA spokeswoman says: “This is a Government restriction. It has nothing to do with the FSA.”

Syndaxi Financial Planning managing director Robert Reid says: “I do not care if the Treasury says it is abuse, I will continue to advise suitable clients to take out Asps.”

See Comment

Recommended

House prices increased 3.9% to August

Average residential values increased by 0.4 per cent over August showing a house price growth of 3.9 per cent for the first eight months of 2006, according to Hometrack.The firm’s latest housing market survey reveals that the north-south divide in house price growth continued throughout August. It says that average house values in London grew […]

Grant Thornton appoints new life actuarial director, financial markets

Grant Thornton has appointed John Graham as a life actuarial director within its financial markets group. Graham brings more than 17 years experience gained around the world and joins GT from one of the Big Four accounting firms in Cape Town.He was previously responsible for research and development, financial management and strategic issues relating to […]

Priming the pump

Gregor Watt looks at investment approaches to pick up on the possibly long-term high price of oil

Intrinsic chooses Key for equity release

Key Retirement Solutions has announced a partnership with Intrinsic Financial Services for equity release referral business.Intrinsic says it wants to ensure the best possible advice for their clients and has chosen Key Partnerships 300-plus advisers.Key business development director Dean Mirfin says: We are delighted that Intrinsic has chosen Key to supply its advisers with an […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment