The Work and Pensions Committee has launched an inquiry into pension charges and transparency.
The inquiry aims to find out if savers have a clear understanding of charges and investment strategy and if they are getting good value for money. Advice will also be looked at to ensure it is good, impartial advice and that savers are switched on to make informed decisions about their pensions.
There are also concerns from the committee around advisers operating on a ‘no transfer, no fee basis’. It causes a conflict of interest as advisers are inclined to recommend a transfer in order to earn a fee.
Previous investigation from the committee has raised concerns over fee structures for SIPPs.
Find out more about the inquiry: https://www.moneywise.co.uk/news/2018-08-06/inquiry-launched-pension-charges-and-transparency