Providers who have cut drawdown charges in the run-up to April 6 to "grab market share" will revisit their decisions in the months to come, suggested LV=.
Head of pensions Ray Chinn (pictured) said charging clients too little for drawdown products is not viable for many businesses and may attract clients who are looking to withdraw their funds quickly. From April savers aged 55 or over will be able to access their pension pots without previous restrictions. They can choose to buy retirement products such as annuities or income drawdown, or cash in their pension pots entirely, subject to taxation. LV= launched a simplified drawdown product in its personal pension plan in June, which charges 25 basis points per year for pots of up to ...
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