Pension charges to be capped at 0.75%; Move to cost providers £200m

Jenna Towler
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Pension charges for workplace schemes will be subject to a 0.75% cap under government plans confirmed today.

Pensions minister Steve Webb said the cap for auto-enrolment schemes would be in place by April 2015. The plans, which were originally due to come into force in April this year, were subject to a 12 month delay after questions were raised about the consultation process. The plans were also branded 'not fit for purpose' in an official report.  However, Webb (pictured) said today: "Through the new measures, this government will be the first to get an iron grip on pension charges. We are going to put charges in a vice; and we will tighten the pressure, year-after-year. "Over the next ...

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