FCA hits back: Providers will not be responsible for DB advice

'Dear CEO' letter sent last week

Hannah Godfrey
clock • 2 min read

The Financial Conduct Authority (FCA) has clarified its position after its 'Dear CEO' letter left pension providers unsure how far their responsibility for DB pension transfer advice extended.

Last week, the FCA sent CEOs of major pension providers a letter explaining what is expected of them when handling defined benefit (DB) transfer business. The wording of the letter led some pension providers, however, to assume they would have to take on additional responsibility for pension transfer advice given by financial advisers. The Dear CEO letter read: "We expect you to have appropriate measures in place to ensure that products are being recommended responsibly and appropriately, in accordance with the treating customers fairly principle." DB pension freedom rights 'erod...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Retirement

Shifting pension rules 'eroding trust' and 'hindering' retirement confidence

Shifting pension rules 'eroding trust' and 'hindering' retirement confidence

Speculation on rules hitting confidence across every age group

Sahar Nazir
clock 17 November 2025 • 2 min read
Retirement confidence dips amid Budget speculation

Retirement confidence dips amid Budget speculation

Confidence is highest among those receiving professional financial advice

Jenna Brown
clock 12 November 2025 • 2 min read
The Great Wealth Transfer: women, wealth and what comes next

The Great Wealth Transfer: women, wealth and what comes next

Sponsored content from WIFA 2025 headline sponsor LV=

LV=
clock 03 November 2025 • 6 min read