On 19 January 2016 the Government announced that a cap would be introduced to limit the charge taken from a pension plan at the point a customer takes a payment directly from that plan, usually known as an exit charge.
How do I know if the changes affect me?
If you are aged over 55 or approaching 55, hold a pension with Zurich that has such a charge, and are thinking about taking money out of your pension plan, or moving your pension plan's value in to another pension, more commonly known as a transfer, then you might be affected.
Although it's been announced that a cap on charges is planned to come in to effect from March 2017, there is, at the moment, no specific information as to how this cap would work or what it would be set at.
Although it will be a while before this happens (and there could be reasons why it doesn't go ahead at all), we wanted to let customers know now.
What should I do?
This news may not change what you are planning to do, but if you are thinking of taking a payment then you may want to think about the actual charge you would pay in relation to the amount you want to take, and whether this would influence your decision.
If you have an adviser you may wish to talk to them about this news as we are not in a position where we can tell you what is best for you.
If you feel you need advice and don’t have an adviser please visit unbiased.co.uk or vouchedfor.co.uk where you’ll be able to find an adviser near you. You may be charged for this advice.
We will be monitoring this closely and adding further information to our website when we have it.