Latest Blogs
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James Jones-Tinsley: Guided Retirement Duty could be game changer
During May, the Pensions Policy Institute (PPI), sponsored by The Pensions Regulator (TPR), concluded that defined contribution (DC) pension savers – including those in SIPPs, as well as in Workplace Pensions - require more guidance when choosing suitable retirement products.
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Lisa Webster: Overcomplicated rules are a threat
It may be more than a year since the Lifetime Allowance was formally abolished but issues are still emerging from the mess made by rushed legislation.
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Lisa Webster: To gift or not to gift?
Since the announcement that pensions are to be included in estates for inheritance tax (IHT) purposes the question of whether those with large pension pots should be giving some funds away has become increasingly common.
Popular News
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People want guaranteed income in retirement: survey
Two-fifths ( 39%) of pension savers say that a guaranteed income is their main priority in retirement.
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Pension savers rushing to take 25% tax-free cash
Pension savers rushed to withdraw their 25% tax-free cash in unprecedented volumes in the 2024/25 financial year, according to new FCA data.
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McFadden appointed new Work and Pensions Secretary
Veteran Labour MP Pat McFadden has been appointed the new Work and Pensions Secretary in the latest Cabinet reshuffle following the resignation of Angela Rayner on Friday.
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Hargreaves and Schroders first to offer LTAFs in a SIPP
Hargreaves Lansdown has partnered with Schroders Capital to add two of its private markets long-term asset funds (LTAFs) to its platform.
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Phoenix Group to rebrand as Standard Life
Savings and retirement group Phoenix will rebrand as Standard Life next March.
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DB surpluses hit record £223bn in August
UK DB pension surpluses hit a record £223bn in August against long-term funding targets, according to analysis from pensions consultancy XPS.
Carey Pensions, now know as Options SIPP, has claimed victory in the long-awaited Adams Case over who is liable for SIPPs investments.
Retirement solutions and platform provider Embark is planning a tie-up with Openwork, one of the UK’s largest adviser networks, which will see Embark's new Advance platform become the lead supplier to Openwork’s 2,000 advisers for five years until 2026.
Nearly half (47%) of 55 to 64-year-olds are unaware that deferring the State Pension can boost their retirement income significantly when they start to claim their pension benefits.
Many pension savers are missing this valuable ‘Financial Planning’ option when they retire, according to research from retirement specialist Just Group.
Deferring the State Pension payment can mean significantly higher state pensions with every nine weeks of deferral boosting income by 1% - equivalent to 5.8% more income for every 52 weeks of deferral.
However, just over one in 10 (12%) of those aged 65+ had deferred their State Pension with the figure higher among women (16%) than men (9%) and also higher among the semi-retired (22%) than fully retired (11%).
Just says with Coronavirus hitting financial plans many more could consider State Pension deferral to boost retirement income.
Stephen Lowe, Just communications director, said: “Deferring State Pension is an important option for the rising number of over-65s in good health and who plan to carry on working.
“It needs to be factored into people’s Financial Planning in the run-up to retirement so it is worrying that such a high number of people aged 55-64 don’t know that there is a degree of flexibility around when and how they take their State Pension.”
According to research by Just the appetite for State Pension deferral has waned in recent years with about 1m people currently receiving extra money as a result of deferral, about 25% fewer than the peak in 2004, according to Department of Work and Pensions figures.
With the full New State Pension rising to £175.20 a week from April, deferring for one year would result in
£10.12 extra a week – more than £526 a year.
Those who have started to receive the State Pension can defer payment once during retirement.
Most people tend to defer the State Pension for between one and two years but more than half defer for longer.
Among those who chose not to defer, 31% said it was because they wanted to stop working as soon as they could. A quarter (25%) said they would have had to defer for too long to make the weekly increase worthwhile.
How long after you were eligible did you defer starting to receive your State Pension?
Up to a year -15%
1-2 years - 31%
2-3 years - 26%
3-5 years - 19%
5-10 years - 8%
Source: Just Group
Financial Planners are no longer using cost as the main factor when selecting platforms, according to evidence in the latest Platform Report in the current Financial Planning Today magazine.
SIPP and SSAS specialist Talbot and Muir has launched a series of bespoke CPD-accredited webinars that can be tailored for individual firms of advisers and will be delivered by the firm’s business development consultants.
The Financial Services Regulatory Initiatives Forum has brought forward the launch of its Regulatory Initiatives Grid to today.