Compensation fears voiced over protected rights in SIPPs

The adviser firm estimates about half of the £33bn currently invested in SIPPs may be held outside of the current limit allowed by the Financial Services Compensation Scheme (FSCS). It says while 90% of the assets held within Insured SIPPs are covered by the FSCS with no upper limit, Trustee SIPPs are only covered up to a maximum of £48,000. From 1 October savers who had opted out of SERPs or S2P can gain the full flexibility offered by a SIPP for these pension savings. Jason Walker, senior manager at AWD Chase de Vere, says: “Until Lehman Brothers and HBOS went down, most people didn’t ...