UK. Pensions industry making ‘fat living’ from charging savers, MPs claim
Parts of the pension industry are making a “fat living” from people’s savings and should come under tougher scrutiny, MPs have said.
In a damning Commons report, the work and pensions committee called for the government to take urgent action against pension funds that fail to disclose how much they charge savers, saying it is “unconvinced” that the industry will act voluntarily on providing transparent information about the costs and charges of investments.
MPs have called for providers behind the charges to face the “full force of the law”, accusing them of “misinforming, mischarging, overcharging” on the savings of pensioners.
Such charges are “eroding the value of individuals’ savings,” they said. Using the example of one pension fund which first reported it had £10m in management costs before being forced to revise the figure to £92m, MPs have said that many schemes are not aware of their costs.
Read more @The Guardian
