When it was launched Royal London automatically uploaded all drawdown clients who were currently taking income from their plan onto the DGS. This means you can assume that every client in Flexi-Access Drawdown (FAD) on the system will have triggered the MPAA.
The only exceptions are those who are:
It gets better. The data held in the DGS allows you to specifically target those clients who have triggered the MPAA and are also currently contributing. While you will want to consider writing to all your drawdown clients these are the ones most likely to be affected by the MPAA cut.
All you need to do is bring up the list of your Royal London drawdown clients and click on the “more info” button on the right hand side of the screen. The data sheet that this opens contains a column regarding contributions; you can then set the criteria to identify those clients who are contributing and explain that they most likely have one last chance to contribute £10,000 before the change comes in, in April.
Of course this does only apply to those clients lucky enough to be with Royal London …
For more information about the proposed changes click here:
Fiona joined the life and pensions industry in 1989. She is a Fellow of the Personal Finance Society, an Associate of the Chartered Insurance Institute and is currently Vice-President of The Insurance Society of Edinburgh. Fiona specialises in the areas of at retirement planning and pensions and divorce.