TAX-FREE FUNDING FOR PENSIONS ADVICE: TWO ROUTES TO HAPPINESS?
Two sets of regulations laid this month could, in conjunction with a clause in the Finance Bill published yesterday, stimulate increased take-up of financial advice on pensions and retirement. Both reference a limit of £500, but one sources the member's pension pot whereas the second is funded by the employer. In each case the legislation is permissive, not overriding; meaning it will be up to the scheme trustees and the employer respectively to decide whether to offer it. There is no statutory right in either case.

The Registered Pension Schemes (Authorised Payments) (Amendment) Regulations 2017 (SI 2017/397) implement the Pensions Advice Allowance (PAA) from 6 April 2017 by adding a new authorised payment to the 2009 Regs ( SI 2009/1171), towards provision of "retirement financial advice".

These Regs were consulted on last month with the final SI differing a little from the initial draft:

  • Clarification of what arrangements may make a PAA payment: only money purchase and hybrid schemes.

  • References to 'beneficiary' have been removed (so a PAA payment can only be made in respect of a person who is or has been a scheme member; not a beneficiary).
  • . . .

21 Mar 2017   Check other news items


 INFORMATION:

  FULL TRACKING OF ALL
  PENSIONS LEGISLATION CHANGES
 

 

Aries monitors every development in new and proposed legislation

Guidance on the meaning and impact of Pensions Legislation changes

25 Years experience working with over 100 top Pension Providers and UK Authorities

Clear and straight advice on putting Pensions Legislation changes into practice

Aries Insight gives the Big Picture and the Little Details

Ensure compliance with all Regulatory Requirements for Pensions

 
ARIES BENEFITS
INFORMATION
INSIGHT
INSTRUCTION
INFLUENCE
INCLUSION
INTEGRITY
OUR OFFER