Dear CEO: What the latest SIPP reforms mean

The SIPP industry has finally been given clarity over reforms as the Financial Conduct Authority (FCA) published its long-awaited thematic review, and weeks later, its final policy statement on capital adequacy requirements. The new capital adequacy rules state: • The fixed minimum capital requirement for SIPP operators is to be set at £20,000 • Calculation of assets under administration (AUA) as the average of the value of the personal pension schemes administered by the firm at the most recent four quarter end dates • A capital surcharge is to be applied for firms holding non-sta...