§ Mr. WebbTo ask the Secretary of State for Social Security if, he intends under the draft stakeholder pension regulations, the separate arrangement to charge for individual detached advice to be regarded as a pension contract; and if he will make a statement. [117600]
§ Mr. RookerNo. It is important that everyone considering a stakeholder pension understands and is confident that the only charge to be taken out of their pension fund will be within the 1 per cent. annual management charge. Schemes may offer financial advice within the 1 per cent. charge if they wish. The draft stakeholder pension regulations are designed to ensure that any contract for the provision of financial advice (and any other services apart from the management of the scheme and its funds) above the 1 per cent. limit must be optional and separate from the pension contract.