Who will foot the 11 billion pounds sterling pensions bill?
Article Abstract:
The cost of dealing with the mis-selling of personal pensions by the United Kingdom financial services industry is estimated at 11 billion pounds sterling. There have been promises that policyholders and stockholders will not be affected, but this is not the case. The review itself involves costs, and it is not always easy to trace investors who have been mis-sold pensions. Assets will be reduced, which weakens businesses having to pay for mis-selling, and the assets could have been used to provide larger bonuses for policyholders.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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Steer clear of the life insurers' hall of fame
Article Abstract:
There are around 64 companies involved in a United Kingdom review of pensions mis-selling. Stock prices of UK financial services companies have risen, and the industry argues that it can easily pay compensation to victims of mis-selling. Companies could still be affected by the government's decision to name companies with poor records on this issue. Mutual insurers are involved, as well as listed companies. Lack of flexibility and high charges are still problems affecting the value of many personal pensions.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
User Contributions:
Comment about this article or add new information about this topic: