Govt accused of 'pandering to tabloids' with pension exit cap

'Rip-off' charges crackdown

clock • 2 min read

The pensions industry has come out fighting in reaction to news the Chancellor will force a cap on exit charges as part of his drive to give savers easy access to their retirement pots.

The details of a charge limit have not yet been released, but early indications are that the industry regards the Chancellor's decision as misguided. Speaking in the House of Commons, Osborne said: "The pension freedoms have been widely welcomed, but we know that nearly 700,000 people who are eligible face some sort of early exit charge. "The government isn't prepared to stand by and see people either ripped off or blocked from accessing their own money by excessive charges." Exit charges tend to be tied to contracts drawn up when advisers received commission, or may have been desi...

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