Royal London announces how customers can access new pension flexibilities
19 January 2015
Royal London announces further detail of how advisers can help customers to achieve a retirement income that suits their needs. In June 2014 Royal London gave a commitment to advisers that it would be updating its proposition to allow both existing and new clients to take advantage of the increased “pension freedoms” that come into force from April 2015.
- Existing customers will be able to take all or part of their pension as a lump sum from their current plan, as well as having the option to transfer to drawdown.
- Flexi-access drawdown will be available both to existing and new customers, giving them complete flexibility over the level of income they select. New illustrations will show how sustainable the income level selected is.
- Existing customers with a capped drawdown plan taken out before 6 April 2015 will have the option to continue their plan on a capped basis or convert it to flexi-access drawdown at any time.
- Our flagship Pensions Portfolio customers will be able to access drawdown within the same pension plan without transferring to a new plan.1
- Royal London will be able to accept transfers in from both existing capped and flexible drawdown plans.
Royal London is also continuing to extend the range of income options it will offer after April, allowing customers to take their tax free cash as an income rather than a lump sum.
Speaking about the new flexible pensions options Isobel Langton, Chief Executive of Royal London’s intermediary division said:
“We are rightly proud of our award-winning pension propositions which have performed consistently well in awards decided by advisers themselves.
“The new pension freedoms announced in last year’s Budget are game-changers, and if we are to maintain our market-leading position we must move to adopt the full range of flexibility.
“The plans we are announcing will enable advisers to give their clients access to their pensions in the most flexible and tax-efficient way. We look forward to sharing more details of our plans and developing financial planning strategies with advisers in the run-up to the April deadline.”
 In a very small number of cases this facility will only be available by transfer to a new plan
For further information please contact:
Gareth Evans 0207 506 6715/ 07919 170069 firstname.lastname@example.org
About Royal London:
Royal London is the largest mutual life, pensions and investment company in the UK with Group funds under management of £78.4 billion. Group businesses serve around 5.3 million customers and employ 2,823 people (figures quoted are as at 30 September 2014).
The Group is currently moving all of its UK life, pension and investment businesses under a new version of the Royal London brand. The Group's independent wrap platform will remain branded Ascentric.