Axa warns on stakeholder pensions

Axa warns on stakeholder pensions

AXA SUN LIFE, one of the UK's biggest life insurers, has warned of a flaw in legislation over stakeholder pensions which could lead customers to "mis-buy" the products en masse. The insurer said the Welfare Reform and Pensions Bill forces them to accept transfers of pension savings from occupational schemes into stakeholder pensions - even when they knew this would make a customer substantially worse off. Pension transfers were at the heart of the pounds 11bn mis-selling scandal, which is still being cleared up by regulators.