View more on these topics

Complaints of unlevel playing field on SSAS

Closing a loophole that allowed holders of small self-administered schemes to pass on assets to family members tax-free will create another distortion in the market, says Rowanmoor Pensions director David Seaton.

Proposals in the pre-Budget report for an 82 per cent tax charge on unused scheme pension assets were meant to bring SSASs in line with alternatively secured pensions.

But Seaton says as the administrators of scheme pensions cannot pay the money to charity tax-free, this has created an unlevel playing field.

He says: “This is a crazy situation because they said they wanted to make it like Asps but under these rules the scheme administrators cannot pay the money to charity.”

Standard Life marketing technical manager Andy Tully says: “If you apply logic to it, it does seem a bit odd but I do not think a lot of this is driven by logic.”

AJ Bell chief executive Andy Bell says: “I am yet to receive an explanation from the Government as to why the neutralising tax charge on unused pension funds is 82 per cent and not 55 per cent in keeping with the tax charge on excessive funds over the lifetime allowance.”


Big firms lose focus on returns

Having a culture driven around your investment is the key to having a strong boutique offering, according to Thames River Capital investment director Michael Warren.He said that many larger investment houses tended to lose sight of this. He had worked at companies where the admin department was bigger than the investment department. This meant that […]

The holiday is over

After the Chancellor axed holiday pay schemes, could salary sacrifice be next?

‘Life links still the biggest challenge’

Life links are still the biggest distribution challenge facing boutique fund managers, according to SVM.Speaking at the Money Marketing boutique roundtable last week, head of retail sales Mark Noble said there was a demarcation because whereas an underlying asset on a platform belonged to the client, a unit linked bond belonged to the life company.Noble […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment