Mandatory advice on pension freedom cases with guaranteed annuity rates worth more than £30,000 should be scrapped and replaced with a ‘customer control' mechanism delivered through the Pension Wise service, the Association of British Insurers (ABI) has said.
The ABI said it had written to Chancellor George Osborne and Financial Conduct Authority (FCA) chief executive Martin Wheatley to push its proposal which it said would tackle pensions freedom "implementation challenges". The ABI said its customer control mechanism would allow people with guaranteed annuity rates with pension assets in excess of £30,000 to gain access to their pension pot without having to pay for advice. It said the mechanism should be delivered through a specific guidance session by Pension Wise or the Pension Advisory Service (TPAS), and enshrined in a protocol agre...
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