Pensions providers will have to wait until March to receive final rules on the information they must give to customers looking to access their funds under new freedoms.
The FCA wrote to providers in late January confirming it would introduce a so-called ‘second line of defence’ ahead of new pension freedoms coming into force in April.
The intervention came after concerns were raised savers who did not accept the Government’s “guidance guarantee” offer would receive no help on their retirement options.
Questioned in the Treasury Select Committee today by Labour MP Andy Love, Wheatley said the letter to providers did not represent an admission that the existing regulatory infrastructure is inadequate.
“The providers themselves were saying they would like some further guidance as to what is expected of them, so it was us responding to an industry need,” Wheatley said.
“We felt our [existing] guidance was enough, but it is the industry that has turned around and asked for more help. What we are doing is codifying what is good practice.”
He added that the formal rules will be introduced one month ahead of the new freedoms coming into force.
“We’ve given a fairly good signposting as to what they will be, but the formal rulemaking will be in March,” Wheatley said, adding that the regulator had not spoken to Government about the prospect of delaying the reforms.
“The Treasury have set the timetable and we are working to the timetable that they have set,” he said.