The Financial Conduct Authority (FCA) recently announced a package of measures aimed at improving advice and the transparency of fees for individuals considering taking a transfer from a defined benefit pension scheme (for example, to a personal pension or income drawdown product).
The changes came into effect in October 2020 and affect how financial advisers carry out and charge for their work. To remove a potential conflict of interest, advisers are not now able to charge fees only where a person decides to proceed with a transfer. The FCA has set out some key points to consider before you think of taking a transfer.