Mary Stewart, Hornbuckle Mitchell: "SIPP investors should be aware of how reliant a provider is on income from bank interest rates - some earn as much as a quarter of their turnover from money earned on client bank accounts. The higher the percentage, the more likely it is that in a low interest rate environment the provider will have to raise other fees to compensate. This margin is undoubtedly being squeezed and the providers who have been greediest in the past will be feeling the pinch now. As part of their due diligence, advisers should look for a SIPP provider with a transparent approach to fees and one which does not routinely charge on a 'time costed' basis where fee increases may be harder to spot." Andy Leggett, Suffolk Life: "Just as the service must be excellent and sustainable, so advisers need to assure themselves of the financial strength and longevity of a provider before they can consider recommending them to their client. Any provider relying on an interest turn greater than the difference between the rate the bank is paying the provider and zero will suffer a loss in revenue; furthermore, some will be less well placed than others to cope with that loss of revenue."
Putting the tech into protection
Square Mile’s series of informal interviews
Fallout from Haywood suspension
Launching later in 2019
£80bn funds under calculation