Shutters pulled down on new business owner pensions

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Insurers selling single member pension schemes have suspended new business under threat of prosecution via IrishTimesBiz

Business owners have been frozen out of the pensions market after the regulator threatened to prosecute people using existing pension products.

That is not likely until the budget in September and any measures announced there will not take effect until the Finance Act is passed into law close to the end of the year. Most company owners start saving for retirement much later in life as they focus on investing in their businesses first. Under new EU rules, the compliance burden on such schemes will be untenable and the industry was aware they would be phased out. However, a new Private Retirement Savings Account featuring the same flexibility has not yet been put in place, despite expectations that it would have happened well in advance of a July 1st deadline for the imposition of new rules.

 

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