Norwich Union is removing plan management and early encashment charges from its Trustee Investment Product used for income drawdown. The only charge it will make will be the 0.625 per cent annual management charge.
Norwich Union says it expects income drawdown to grow in the run-up to pension simplification in April 2005.
Norwich Union head of retirement product development Simon Warsop says: “The feedback we have had from IFAs is that simplicity and flexibility are the key factors for both IFAs and their clients. We believe this is a strong proposition.”