Important information about existing workplace pension schemes

Some of the commission payments you receive on existing workplace pension schemes are changing

We’ve recently written to you following a value for money review of some of our workplace pension schemes, to let you know that we’re writing to employers and customers regarding changes that could affect the commission payments you receive on existing workplace pension schemes.

On this page you’ll find some Q&As which will help with any immediate questions you have, along with copies of letters and Q&As that we’re sending employers and customers.

Adviser materials

Your recent commission statement will confirm how much is being paid. Alternatively, you can get a remuneration report by logging into our online service or you can contact our dedicated servicing team. 

It depends on the type of pension contract. If the customer has a group personal pension plan (GPP), and you want to provide one-off advice then you can set up an ad-hoc adviser charge option. You’ll need to agree the charge with the customer and they’ll need to complete an adviser charge instruction form and send this to our dedicated servicing team.

We conducted a review of value for money on workplace plans with our Independence Governance Committee. We are letting our customers decide whether the adviser payments should continue or not, we appreciate you may be providing advice and we value this. Where no advice is being provided, we want to help reduce the plan charge, we will not retain any of the payment or benefit from this charge.

We’ll write to you at the start of December confirming which customers will & will not have the commission charge on their plan.

Unfortunately not. Due to the nature of the change, Royal London needs to communicate this direct to the customer. We’re writing to you first to help you prepare for any conversations you may want to have.

Yes, other providers have already made similar changes to the ones that we’re making.

The Committee’s principle function is to act in the interests of Royal London’s workplace pension customers and pathway investors. Their job is to discern the value for money (VFM) we are providing to these customers and challenge us where they believe VFM needs to improve. There’s more information here.

Employer materials

When you set up your scheme, you’ll have completed an employer application form which will have detailed the agreed commission that we deduct from the member’s plans and pass onto your adviser.

If your scheme has been set up with an agreed Fund Based Renewal Commission (FBRC) payment then the AMC will reduce by the rate of FBRC, this reduction will be effective from the 1st December. We’ll not retain any of the payment or benefit from this charge.

Due to the version of workplace pension scheme you have, there are no alternative adviser remuneration arrangements available.

Yes, we’re not removing any adviser details from the scheme, so they’ll remain on our records for your scheme until we’re told otherwise. 

Yes, there are other providers who’ve  already made similar changes to the ones that we’re making.

We conducted a review of value for money on workplace plans with our Independence Governance Committee. We are letting our customers decide whether the adviser payments should continue or not, we appreciate you may be receiving advice and we value this. Where no advice is being received, we want to help reduce the plan charge, we will not retain any of the payment or benefit from this charge.

The Committee’s principle function is to act in the interests of Royal London’s workplace pension customers and pathway investors. Their job is to discern the value for money (VFM) we are providing to these customers and challenge us where they believe VFM needs to improve. There’s more information here.

Customer materials

When your employer or previous employer set up their scheme, they would have done so through an adviser. We’ll automatically apply the same adviser who set up the scheme, to any member’s plans within the scheme unless we’re told otherwise. 

You’ll find their details on your latest yearly statement or any other documentation we’ve sent you.

If you’re still employed by the company who set up the scheme that you joined,  then the adviser will remain linked to your plan. If you’ve stopped working for this employer, then you can change these details to another adviser of your choice or you can choose to have no adviser’s details linked to your plan. 

No.  Due to the nature of the change and to make sure the change is carried out at the same time for all customers, the earliest we can stop the payments is from the 1st December.

When we set up your employer’s or previous employer’s workplace pension scheme, they agreed with their adviser the payments that we’d deduct from your plan. 

Within the welcome pack that we sent you when you joined, it will show the agreed adviser payments that we’ll deduct from your plan. Depending on your plan type, we may also have sent you a Plan or Account Certificate which will also detail the adviser payments.

We conducted a review of value for money on workplace plans with our Independence Governance Committee. We are letting our customers decide whether the adviser payments should continue or not, we appreciate you may be receiving advice and we value this. Where no advice is being received, we want to help reduce the plan charge, we will not retain any of the payment or benefit from this charge.

The Committee’s principle function is to act in the interests of Royal London’s workplace pension customers and pathway investors. Their job is to discern the value for money (VFM) we are providing to these customers and challenge us where they believe VFM needs to improve. There’s more information here.

This website is intended for financial advisers only and shouldn't be relied upon by any other person. If you are not an adviser please visit royallondon.com.

The Royal London Mutual Insurance Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm is on the Financial Services Register, registration number 117672. It provides life assurance and pensions. Registered in England and Wales number 99064. Registered office: 55 Gracechurch Street, London, EC3V 0RL.