Press release

LV= introduces tiered charging structure on personal pension

LV=, the retirement and protection specialist, is introducing a tiered charging structure on its personal pension.

Charges on the LV= Flexible Transition Account will be reduced for customers investing more than £100,000, and a client investing £300,000 into an LV= pension would pay a total annual wrapper charge of £650 – saving £100 a year. Overall charges on pensions worth £50,000 will rise from 0.25% to 0.3%. The changes will be introduced on 3rd February 2020.

New tiered charging structure

  Investment amount       Old charge (0.25% to £1m – 0.1% over)    New Charges
£50,000 £125 0.30%    £150
£100,000 £250 0.25%    £250
£200,000 £500 0.23%    £450
£300,000 £750 0.22%    £650
£700,000 £1,750 0.21%    £1,450
£1,000,000* £2,500   0.145%  £1,450  

*No charges are levied on investments amounts over £700,000.  In this example using a £1m pension fund, 0.215% (£1,450) charge is applied to first £700,000 and none to remaining £300,000. The charge on the whole £1m pension is equivalent to 0.145% (£1,450).

The new charges apply on all contributions invested in LV=’s range of 220 insured funds, including passive and active funds. With investment charges starting from just 0.05% the fund range includes: 

  • LV= Smoothed Managed Funds with two unique levels of investment protection and reduced wrapper charge of just 0.15% when 100% invested in these funds. (LV= is waiving the first year pension wrapper charge of 0.15% for clients who invest 100% in our Smooth Managed Funds by 5 April 2020)
  • Funds from five of the leading passive fund managers including Blackrock, Fidelity and Vanguard 
  • Discounted rates on many funds, including the LGIM Multi Index Funds for just 0.24%
  • A selection of Environment Social Governance (ESG) funds – active and passive and with a range of different risk ratings

Clive Bolton, managing director at LV= Savings and Retirement, said: 
“These changes are another example of how LV= is evolving to support mass-affluent customers in the post Pensions Freedoms market, and throughout 2020 we’ll be introducing a series of improvements as we continue to develop our range of pensions, investments and retirement products.  These latest changes make the LV= more competitive, particularly for those with pension funds above £100,000.”

For more information please contact:

David Gwyer
Media Relations Manager – Life and Pensions
020 7634 4311
07798 796907
Candice South
Press Officer, Life & Pensions
020 7634 4497
07867 141547

About LV=

LV= is a leading financial mutual. and serves over 1.3 million members with a range of financial products. When we started in 1843 our goal was to give financial security to more than just a privileged few and for many decades we were most commonly associated with providing a method of saving to people of modest means. Today we follow a similar purpose, helping people to protect and provide for the things they love, although on a much larger scale and through a wide range of financial services including insurance, investment and retirement products. 

LV= and Liverpool Victoria are trademarks of Liverpool Victoria Financial Services Limited (LVFS) and trading styles of the LV= Group of Companies. LVFS, registered in England with registration number 12383237, is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, Registered number 110035. Registered address: County Gates, Bournemouth BH1 2NF.