In March we consulted on proposed changes to our rules which will be necessary following an amendment to the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (RAO). This makes advising on the conversion or transfer of safeguarded pension benefits into flexible benefits a regulated activity.
We also consulted on related changes to ensure that our Conduct of Business Sourcebook (COBS) pension transfer requirements will apply to all pension transfers, regardless of when the transferred benefits are being crystallised.
This Policy Statement will interest:
The PS is also likely to be of interest to retail consumers seeking to transfer benefits from DB schemes, or from pension policies with Guaranteed Annuity Rates (GARs), to defined contribution (DC) arrangements.
Policy Statement PS15/12 [PDF]
The new rules described in this Policy Statement will come into force on 8 June 2015. Financial advisory firms advising on pension transfers, pension providers receiving transfer business and employer sponsors of occupational schemes must make any changes necessary to comply with the rules.
For more information:
Copyright © 2016 FCA. All Rights Reserved.