ABI: contracting out of SERPS: FSA has chosen right course.

Commenting on the FSA’s announcement today that it has concluded its investigation into contracting out of SERPS, Stephen Haddrill, Director General of the ABI, said:

“The FSA has conducted a thorough investigation. Individual companies themselves set ‘pivotal ages’ as a guide for customers and advisers on whether people would benefit from contracting out. There was no regulatory requirement for them to do so. As the FSA says, many people who contracted out despite being above the pivotal age may well have had good reasons of their own.

“Where customers now have any concerns, companies will consider them carefully. The FSA is right to look at this issue firm by firm through the normal and effective supervisory process.”