The Government has been urged by SIPP provider Alliance Trust to give a timeframe for when protected rights can be included in a SIPP and remove current restrictions on spouse's pensions.
Protected rights will be allowed to be self-invested as a Government amendment to the Pensions Bill means all restrictions will be removed apart from the requirement to purchase a spouses pension.
Government amendments to the Pensions Bill requiring protected rights to purchase a 50% spouses pension is a 'second-guesisng' exercise which is sending out a confused message to the market, claims Aegon Scottish Equitable.
New amendments to the Pensions Bill 2007 mean protected rights will still be treated separately from existing savings through the requirement to purchase a 50% spouses pension, claims Standard Life.
Zurich has enhanced its drawdown proposition by including the ability to drawdown income from protected rights.
Advisers need to be aware protected rights can be invested in self-invested personal pensions, but not in the trust-based variety available from most providers, claims Merchant Investors.
The government will continue to delay a decision on the treatment of protected rights, despite consultation responses suggesting all parts of the industry agree the restrictions should be removed.
Prudential has launched the first with-profits annuity which can be purchased with protected rights funds, following negotiations with the Department for Work and Pensions.
It's not even at the end of January yet, and instead of easing us back into things at a nice easy pace the government is cracking the whip on pensions.
John Hutton, Secretary of State for Work and Pensions, has effectively quashed suggestions of a u-turn on the removal of the restrictions relating to protected rights.