The provider says it will remove consultancy charges on its Retirement Solutions-branded schemes and reprice them within the charge cap. These changes will be implemented on 1 April 2015 or the employer’s staging date, whichever is the later.
Scottish Life is also removing commission and introducing adviser charging options from 1 April 2016 or at the employer’s staging date if later.
A statement from the provider, which will switch to parent Royal London’s branding by 2015, says it reserves the right to levy further employer fees in the event that the government reduces the level of the price cap in future.
Royal London Intermediary chief executive Isobel Langton says: “These changes are driven by new legislation, which we need to make for our proposition to remain compliant. We looked closely at whether or not we should remove commission from April 2015, but have decided that the best way forward is to continue to pay commission until April 2016. This allows advisers more time to integrate these changes into their business models and highlights our support of the intermediary market.”