St. James's Place (SJP) has provisioned £426m to refund clients for ongoing advice fees after reviewing its back-book, leading to a dividend cut of over 50%.
Review of the fee for ongoing advice
After receiving an increased number of complaints last year from law firms and claims managers, SJP has stated that it has been working closely with the FCA. As a result, the company has started reimbursing clients for their ongoing advice fees in cases where it cannot provide proof of the delivery of ongoing services. The approach justifies the position of the regulator that not only must advice be reasonable and suitable but that the cost of providing that advice levied against the client must also fit the same standards. The FCA issued a ‘Dear CEO’ warning some time ago that transfer from one financial vehicle to another must always represent the best possible advice and the evidence to justify such a switch must be overwhelming. Whilst advice offered by SJP on the change of investment profile the subsequent charges are now under the spotlight with their regulator.
Contact our specialist mis-sold SIPP claims team
If you are a client of SJP'S, and believe that you may have been affected by the issues with the advice fees, or simply want more information, then we encourage you to get in touch with our specialist lawyers. Our team deal with issues with pension schemes every day and are experts in the field.
They can assess your situation and determine whether you are eligible to claim compensation
To make an appointment or to find out more about how our SIPP claims experts can help you claim compensation, telephone 0800 046 9976, email us at info@smoothcl.co.uk or complete our quick online enquiry form and one of our SIPP experts will get in touch with you promptly.
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