Consultation outcome

Pension transfers and early exit charges: consultation

This was published under the 2015 to 2016 Cameron Conservative government
This consultation has concluded

Read the full outcome

Pension transfers and early exit charges: response to the consultation

Detail of outcome

This document summarises responses to the pension transfers and early exit charges consultation. It sets out the action and next steps that the government will be taking to address each of the consultation’s areas of focus: excessive early exit charges, pension transfers and the circumstances in which individuals should seek financial advice.

As announced by the Economic Secretary to the Treasury, Harriett Baldwin, the government has also tabled an amendment to the Bank of England and Financial Services Bill (new clause 7) to require the Financial Conduct Authority to make rules prohibiting early charges for those seeking to exercise their rights under the pension freedoms.


Original consultation

Summary

The government is seeking responses on early exit penalties, the transfer process and how to more clearly communicate when consumers should seek financial advice.

This consultation ran from
to

Consultation description

The government is seeking responses from both pension specialists and consumers on early exit penalties, the transfer process and how greater clarity can be provided on the circumstances in which individuals should seek financial advice.

In order to ensure that people can access the new pension flexibilities easily, the government is seeking responses to its consultation (from pension specialists) and an online consumer survey (from individual consumers), both of which will be considered alongside evidence gathered separately from providers by the Financial Conduct Authority and The Pensions Regulator.

This consultation will look at options to address excessive charges for early exit penalties, making the process for transferring pensions from one scheme to another quicker and smoother, and how there can be greater clarity around the circumstances in which someone should seek financial advice. The consultation will run for 12 weeks and a response will be published in due course.

The online consumer survey provides a platform for consumers to tell the government about their own experiences and views on these issues. It will run alongside the consultation for 12 weeks and will form part of the government’s response.

Access the short online survey designed specifically for individual consumers.

Consumers can use this survey to tell us about their experiences and views on early exit penalties, the pension transfer process and the circumstances in which individuals should seek financial advice.

Documents

Pension transfers and early exit charges: consultation

Updates to this page

Published 30 July 2015
Last updated 10 February 2016 + show all updates
  1. response document added

  2. First published.

  3. Online survey link added

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