FCA's Poyntz-Wright confirms delay to capital adequacy review

There is likely to be a further delay to the Sipps capital adequacy consultation, the annual conference of AMPs - the providers' association - heard this week. Nick Poyntz-Wright, director for Long Term Savings & Pensions at the FCA, told delegates at the London conference that the Sipps Thematic Review and response to the Sipps capital adequacy requirements were now delayed until the third quarter of 2014. He also advised that in relation to capital adequacy, the FCA was reconsidering the classification of commercial property and its effect on capital adequacy requirements and considering phasing in the new capital adequacy requirements.The Association of Member-Directed Pension Schemes (AMPS) conference in London was attended by nearly 150 delegates from large and small Sipps and SSAS providers. It saw in-depth discussion and talks covering a wide range of topics from the Thematic Review and capital adequacy requirements through to calls for a Sipps permitted investment list.Neil MacGillivray, chairman of AMPS, said: "Although disappointed at the further delay to the capital adequacy consultation paper, we are reassured that two of AMPS key concerns are being addressed. If the aim is to get this right first time, then it is worth waiting for."{desktop}{/desktop}{mobile}{/mobile}AMPS said that three of the main points to come out of the conference were:• What steps Sipp and SSAS providers should take when looking at pension transfer requests that may be considered "suspect"• What level of due diligence should be taken on non-mainstream investments• Changing practices post April 2015, as to how individuals will be able to take retirement incomeMr McGillivrary concluded: "The final session of the conference saw Mike Morrison and Robert Graves go head to head in a debate on the issue of a permitted investment list. Before the debate, 71% of the audience were in favour, this fell to an equal split after the debate and clearly shows that the membership of AMPS feel that a permitted investment list may not be the panacea for risk free investments and could stifle innovation in the sector."AMPS is the main trade body that looks solely after self-invested pensions, or member-directed pension schemes such as Self Invested Personal Pensions (Sipps) and Small Self Administered Schemes (SSASs). It has more than 200 member firms representing many parts of the sector including: Sipp providers, SSAS practitioners, pension lawyers, software developers, banks and investment houses.AMPS is run by a committee elected from representatives of member firms by the membership. Among its varied duties the committee makes representations on behalf of the member-directed pensions industry to Government bodies such as HMRC, Treasury, FSA and DWP.

FCA's Poyntz-Wright confirms delay to capital adequacy review

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