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- Gwreiddiol (a wnaed Fel)
The Occupational Pension Schemes (Charges and Governance) Regulations 2015
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Limits on charges
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Memorandwm Esboniadol
6.—(1) The limits on charges for the purposes of regulation 4(1)(a) are the limits specified in this regulation and the trustees or managers must choose whether to assess them in accordance with regulation 7 or 8 (but see regulation 8(6)).
(2) The limit in relation to a single charge structure is 0.75% annually of the value of the member’s rights under the default arrangement.
(3) The limit in the case of a combination charge structure whose charges fall within regulation 5(3)(a) is —
(a)in relation to the contribution percentage charge, 2.5% of the contributions allocated under the default arrangement —
(i)annually, or
(ii)where in relation to a charges year, regulation 4 does not apply to the member for the whole of the year, in the period for which that regulation applies; and
(b)in relation to the existing rights charge, the percentage annually of the value of the member’s rights under the default arrangement which is the figure in Column 2 of the following table which corresponds to the contribution percentage charge rate in Column 1 of that table which is imposed on the member.
Column 1 Contribution percentage charge rate (%) | Column 2 Existing rights charge rate |
|---|---|
| 1 or lower | 0.6 |
| Higher than 1 but no higher than 2 | 0.5 |
| Higher than 2 but no higher than 2.5 | 0.4 |
(4) The limit in the case of a combination charge structure whose charges fall within regulation 5(3)(b) is—
(a)in relation to the flat fee charge, £25 annually; and
(b)in relation to the existing rights charge, the percentage annually of the value of the member’s rights under the default arrangement which is the figure in Column 2 of the following table which corresponds to the annual flat fee charge in Column 1 of that table which is imposed on the member.
Column 1 Flat fee charge (£) | Column 2 Existing rights charge rate (%) |
|---|---|
| 10 or less | 0.6 |
| More than 10 but no more than 20 | 0.5 |
| More than 20 but no more than 25 | 0.4 |
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Asesiadau Effaith
Impact Assessments generally accompany all UK Government interventions of a regulatory nature that affect the private sector, civil society organisations and public services. They apply regardless of whether the regulation originates from a domestic or international source and can accompany primary (Acts etc) and secondary legislation (SIs). An Impact Assessment allows those with an interest in the policy area to understand:
- Why the government is proposing to intervene;
- The main options the government is considering, and which one is preferred;
- How and to what extent new policies may impact on them; and,
- The estimated costs and benefits of proposed measures.
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