View more on these topics

F&C rejects Sandler claim over life funds&#39 tax bias

Sandler&#39s claim to be levelling the tax playing field bet-ween life offices and fund management companies has been dismissed by F&C, which claims the arena is already tilted in fund managers&#39 favour.

Speaking at the F&C round table meeting in London last week, group head of insurance products Derek McLean said fund managers already benefit from certain capital gains tax advantages and Isa allowances which put them in a more favourable position.

Sandler&#39s report claims that life companies enjoy a fav-ourable tax treatment and recommends the abolition of the 5 per cent withdrawal rule.

McLean said: “The 5 per cent rule is being sold as a benefit when in fact it is the lessening of a disadvantage. The biggest difference between life and fund management companies is in tax. In a life company, you pay CGT regardless.”

Aegon UK spokeswoman Lesley McPherson says: “If the knock-on effect of Sandler is a review of life company taxation, we would hope it looks at it as a whole rather than focusing on one or two isolated elements, given that it is such a complex area.”


FSA guidance on accounting for windfalls when paying compensation

The FSA has published guidance on how firms calculating compensation payments should treat windfall payments following the Needler court judgement in July 2001. The FSA says the judgement has implications for pensions and FSAVC review compensation cases as firms are no longer allowed to deduct the value of the windfalls paid as top-ups from any […]

Multi Thai missed the real world

The Diary would like to extend a warm welcome back to former Financial Dynamics PR executive and now newest member of the growing Mainland PR team Andrew Appleyard.While the rest of us have been slogging away in the trenches for the last six months, Andrew and his young lady have been off travelling the world […]

IMA rejects Sandler view on fund charges

The IMA has rejected the Sandler review team&#39s conclusion that there is no correlation between fund charges and performance, saying the evidence presented to Sandler points to an opposite conclusion.Having had access to the same data upon which the review team based its conclusions, the IMA says there is a distinct relationship between the cost […]

The real cost of regulation falls upon the public

Do we really know where we are going and are the people attempting to regulate us really aware of our world?Our regulators tell us that we are too costly for the public and that we should be trying to encourage the lower income earners to save more money, and to be truly professional we must […]


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