OFT pension audit could hit provider business and 'affect current charges'

The nine-strong independent project board (IPB) leading the Office of Fair Trading (OFT) review into legacy defined contribution (DC) schemes was revealed last week. The group - made up of industry heavy weights - will work under the chairmanship of Carol Sergeant.Pension consultant Punter Southall said it remains unclear what action will be taken at the end of the review, and how the reform of old, high-charging schemes could affect current schemes offered under auto-enrolment. Principal Alan Morahan said schemes take up to a decade to become profitable meaning the low prices on offer f...