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Cameron attacks U.K. pension providers over withdrawal charges

By Robert Hutton

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(Bloomberg) — David Cameron said he’s concerned about reports that British pension companies are charging customers who wish to draw money out of their funds.

The prime minister’s government announced in 2014 that savers would be able to withdraw money from pension funds without a penalty to help them avoid being forced to buy low- yielding annuities.

The Daily Telegraph newspaper reported Saturday that pension providers are constraining savers’ flexibility by imposing fees and restrictions on people drawing on their funds.

“We need to look carefully at what’s happening,” Cameron told reporters at the Group of Seven summit at Schloss Elmau, Germany. 

“The aim of the reforms is to give people more control of their money, not to have a new way of charging people. We need greater transparency in our pensions industry.”