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Revenue review sparks fears over trustees

The threat to Sipps and SSASs in the Inland Revenue pension taxation review

could spell the end for much of the work carried out by pensioner trustees,

pension experts are warning.

Advisers&#39 concerns have been raised by a paragraph in the review that says

SSASs and Sipps will have to adopt the same prudential investment

approaches as all other pension schemes.

It goes on to single out SSASs as being used for tax-efficiency purposes

rather than securing retirement income. The review proposes restricting

loans to employers and scheme members and limiting the holding of shares in

the sponsoring employer&#39s company to 5 per cent, as with other schemes.

Scottish Equitable pensions development director Stewart Ritchie says:

“Many people who run small businesses cannot afford to divorce cashflow

away from their business to provide pensions. The Revenue review ignores

the reason why controlling directors want to use SSASs in the first place.”

Informed Choice managing director Nick Bam-ford says: “The Revenue review

suggests that investments in SSASs and Sipps are done in an imprudent

manner and suggests that they should not have the investment freedom that

they have. The one area of the current regime that the review should not

attack is the Sipp market. Firms with large books of SSAS clients will be

looking at the Revenue&#39s review and wondering what it means for them.”

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In Focus — May 2015: private medical insurance market in Germany

Welcome to the latest edition of In Focus. In this issue, Jelf examines the private medical insurance market for employers with expatriate workforces in Germany. This includes the common challenges faced in sourcing appropriate coverage, along with a selection of available solutions. This will be of particular interest to HR/reward decision makers with employees based in Germany. It will assess the cultural norms, risks and backdrop that are relevant to organisations with expatriate staff in this location.

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