An independent audit of charges in legacy defined contribution schemes will include a review of exit fees on old-style policies.
An update published today from the independent project board tasked with reviewing legacy fees says it will focus on current and forward-looking charges, not historical charges already paid by members.
It also says the review will take into account all member-borne charges, including exit fees.
Member-borne charges identified include fund based charges such as AMCs; initial charges; ongoing fixed charges; early exit penalties; and other “event driven” charges.
The independent board says it is gathering data from schemes and will measure charges on a reduction in yield basis.
It has also set out 37 different hypothetical member-scenarios for which it is demanding data. It says this will allow it to factor individual circumstances into its findings.
The board says it is currently collecting data from providers and will analyse the findings before publishing its report in December.
The legacy review was launched after a report from the Office of Fair Trading warned workplace schemes may be failing to deliver value for money.