What made financial headlines over the weekend?
What made financial headlines over the weekend?
Bringing forward the end of pension scheme contracting-out by 12 months was not motivated by the expected £5.5bn bump to government coffers, economic secretary to the Treasury Sajid Javid has said.
LV= has launched a pension information microsite for advisers.
Financial advisers will lose out on an estimated £80m worth of commission when the government outlaws contracting out of the state pension into private vehicles in April, Standard Life has said.
The government this week passed legislation which officially ended contracting out of defined contribution (DC) pension schemes from April 2012.
Contracting-out for defined benefit (DB) pension schemes will be scrapped as part of the move to a single tier state pension.
The government has hit problems with the reform of the state pension due to contracting-out and will now delay releasing a consultation paper on it, Ros Altmann, director general of Saga says.
Annual savings of more than £1bn resulting from the abolition of contracting-out should be used to encourage private saving, rather than subsumed into general government revenues, says the Association of British Insurers.
The government will continue to delay a decision on the treatment of protected rights, despite consultation responses suggesting all parts of the industry agree the restrictions should be removed.