The government will ban public sector workers from transferring pension pots to defined contribution (DC) arrangements and is considering similar restrictions on private sector schemes, it has announced.
It is now consulting on whether the same restrictions should be applied to private sector defined benefit (DB) schemes. Chancellor George Osborne today announced dramatic changes to drawdown rules and a guarantee of free, face-to-face impartial advice for anyone retiring on a DC pension (PP Online, 19 March). In the Budget 2014 document, HM Treasury acknowledged the change will have implications for those retiring on DB pensions and "could lead to more people seeking transfer for DB to DC schemes". This could result in "a significant cost to the taxpayer" in relation to public sect...
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