Aileen Lynch: Caps off to early exit charges

After much speculation and debate surrounding early exit charges, the Financial Conduct Authority (FCA) last week published CP 16/15 Capping early exit charges, alongside a Department for Work and Pensions (DWP) consultation paper on the same topic. Both these papers propose a cap on the charges that scheme providers may charge when policyholders of defined contribution pensions ask to access their pensions ‘early', that is, after age 55 but before the scheduled retirement age.  I should point out that market value reductions are excluded from the cap under both proposals and are expe...