RDR: FSA to ban commission for all GPP sales

In its latest consultation paper, which outlines proposals for bringing RDR to the GPP market, the FSA says commission should be banned for all firms. In future, employers will need to arrange to pay an upfront fee to an adviser, or arrange for employee pension funds to be deducted in order to pay for any advice taken. The Regulator says a form of adviser charging, called ‘consultancy charging', will become the remuneration method for those advising on GPP business. Advisers will not be able to circumvent rules banning commission in the retail market, as the charge will have to be ...