FTAdviser.com

Advertising

Britons hold an estimated £100bn in protected rights pensions and are attracted to the opportunity of switching into Sipps as it will allow them to control their pension pots themselves.

But Francis Moore, managing director, warned it could take months to switch from protected rights pensions into Sipps.

"Policyholders will be able to move their funds from life companies to Sipp managers from 1 October. Many Sipp providers, including ourselves, are talking to investors and their advisers already," Mr Moore said.

"However, the response from existing pension companies can vary hugely. While the best life companies can transfer within five working days, I also know of benefit companies that take several months. This means even if they start work now, thousands of investors will certainly not have their funds in Sipps in October."