The FCA has published Consultation Paper 16/12: Secondary annuity market – proposed rules and guidance (CP16/12).
In CP16/12 the FCA seeks views on its proposed new rules and guidance for the secondary annuity market, which is due to start in April 2017. It sets out the FCA’s expectations regarding the existing rules that apply to this market, and brings forward proposals to change its Handbook. The changes proposed in CP16/12 will affect consumers who hold, or will hold, annuities in their name and contingent beneficiaries with an interest in such annuities. The proposals will play a key role in determining how consumers will be able to sell their annuity incomes on the secondary market.
CP16/12 has five key sections:
- presentation of offers;
- restrictions on charging;
- compensation and prudential arrangements; and
- other regulatory requirements.
The deadline for comments on CP16/12 is 21 June 2016.
View CP16/12: Secondary annuity market – proposed rules and guidance, 21 April 2016