Scheme pensions 'left islolated' under freedom and choice

Scheme pensions 'left islolated' under freedom and choice

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Scheme pensions have been largely ignored in the freedom and choice revolution. Claire Trott believes savers in the ‘niche market' have been left out in the cold

Money purchase scheme pensions have – it is safe to say – either been loved or hated by advisers and providers alike. This has been for many reasons, but they have all the same been used by many, although nowhere near as many as drawdown.   What's the problem? One of the issues with scheme pensions is the fact that once you have one, the only alternative option is to go to an annuity or move to another provider who can facilitate the scheme pension.  It is not possible to take the residual pot and move to a drawdown, capped or otherwise. This was because of the definitions int...

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