Businesses could use a Sipp or Ssas to protect premises
Story by: Dominic Welling, FTAdviser
Businesses suffering from the economic downturn should think about protecting themselves from future financial problems by placing their premises within a self invested personal pension (Sipp) or a small self administered scheme (Ssas).
Further work on how collective defined contribution schemes might operate is to take place, the department for work and pensions announced in its response to its risk-sharing consultation.
Norwich Union will cut the commission rates on two of its pension products by 0.5 per cent from next year to remain competitive but without "paying more than in necessary".
The FSA is to take action to improve firms giving pension switching advice after it found 80 cases of unsuitable pension transfer advice in a review.
A small business man whose pension contribution was increased by £110,000 by an adviser may initiate legal proceedings.
The Financial Services Authority (FSA) is taking action to improve the quality of advice given to customers who switch into a personal pension or self-invested personal pension (Sipp), after it found 80 cases of unsuitable pension transfer advice.
Legal & General revealed the government was persuaded to allow employers to self-certify their schemes as suitable for automatic enrolment, after industry bodies met with ministers.
Pensioners relying on property to fund their retirement have already lost almost £45bn due to the property slump over the past 12 months.
The current economic downturn is forcing UK workers to make cut backs to their pension contributions, with one in five having reduced the amount they save as a result.
Around 1.5 million people are planning to stop their pension contributions as the recession bites, which could result in a staggering £35bn loss from pension funds.
FSA review finds unsuitable advice given on switches
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