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DWP Confirm Protected Rights Can Be Held By All SIPPS from October 2008

The government has now confirmed that it will be laying regulations in July 2008 to enable the proposed changes to take effect from 1 October 2008.

The government’s response also provides the following useful information:

  • Protected rights benefits will have to be separately tracked and ringfenced until such time as all of the special protected rights rules are abolished

The confirmation that all SIPPS will be able to hold protected rights, which can be invested in any investment options available under the scheme concerned, is to be welcomed. It has been estimated that there is between £75 billion and £100 billion of protected rights monies, which will open up a very sizeable market for those individuals who wish to self invest these benefits.

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