BoE slashes interest rate to 0.25%

In a bid to shore up the economy the Bank of England has cut interest rates back to their lowest ever level, 0.25% from 0.75%. The MPC (Monetary Policy Committee) voted unanimously to slash the bank rate at an unscheduled meeting, which ended yesterday. The rate cut is part of a ‘package of measures to help UK businesses and households …

Retirement ProfessionalsBoE slashes interest rate to 0.25%

Annuity sales rise 22% at L&G

Individual annuity sales jumped 22 per cent last year at Legal and General, latest results show. Bucking a wider market trend of falling sales since the pension freedoms, the insurer put part of the spike down to “increased intermediary presence”. FCA data shows annuity sales from October 2015 to March 2016 for those accessing their pots for the first time …

Retirement ProfessionalsAnnuity sales rise 22% at L&G

Small pension pot withdrawals avoid triggering MPAA tax charge

Advisers can prevent clients from triggering the money purchase annual allowance (MPAA) by ensuring they draw money from small pension pots of £10,000 and under, according to new analysis from Royal London. Advisers can prevent clients from triggering the money purchase annual allowance (MPAA) by ensuring they draw money from smaller pension pots, according to new analysis from Royal London. …

Retirement ProfessionalsSmall pension pot withdrawals avoid triggering MPAA tax charge

FCA fines Standard Life Assurance £30m over annuity sales failures

Standard Life has been fined £30.7 million by the Financial Conduct Authority (FCA) over failures in selling non-advised annuities. The regulator took action against Standard Life Assurance, now owned by closed-book pension provider Phoenix, over enhanced annuity sales between July 2008 and May 2016. ‘Standard Life Assurance failed to put in place adequate controls to monitor the quality of the …

Retirement ProfessionalsFCA fines Standard Life Assurance £30m over annuity sales failures

HMRC’s pension freedoms over-taxation reaches £400m

HM Revenue and Customs has now over-taxed savers accessing their pensions via the pension freedoms by over £400 million, it has revealed. HM Revenue and Customs (HMRC) has now over-taxed savers accessing their pensions via the pension freedoms by over £400 million. Current rules require providers to charge emergency tax the first time someone uses the pension freedoms to access …

Retirement ProfessionalsHMRC’s pension freedoms over-taxation reaches £400m

FCA proposes new pension freedom rules

The FCA says it expects firms to “challenge themselves on the level of charges they impose on investment pathways” and could consider imposing a cap. The FCA is consulting on new measures to stop consumers losing out on pension income when they access their pension freedoms. The regulator has previously expressed concern about consumers moving into drawdown and holding their …

Retirement ProfessionalsFCA proposes new pension freedom rules