Pension administrator Montpelier has suspended the processing of new business as part of an internal review into the company’s strategy.
A statement on the Leicester-based firm’s website from managing director Kevin Wells says the move will not affect clients’ Sipp and Ssas assets.
Wells says: “We appreciate the timing is not ideal, given the proximity to the fiscal year end but hope you will bear with us in the short term until a more formal announcement is made.
“This decision does not affect clients’ Sipp and Ssas assets detrimentally in any way. We will continue to provide full administration services relating to scheme assets and to accept contracted regular contributions.”
Montpelier was unavailable for further comment.
Norwest Consultants principal Harry Katz says: “I never understood why some of these small companies got on the pension admin bandwagon in the first place, so I am not surprised they are falling by the wayside. The most important thing in pension administration is cost and they cannot compete with the big Sipp and Ssas players.”