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Sipp provider Stadia Trustees halts new business

by Brian Cantwell on Feb 27, 2013 at 10:13

Sipp provider Stadia Trustees halts new business

Essex-based Sipp provider Stadia Trustees has put a halt to accepting all new regulated business after it varied its regulatory permissions.

Tony Hales, managing director of Stadia, said the firm had chosen to vary its permissions while it undergoes ‘structural changes’.

A note on the Financial Services Authority (FSA) register said: ‘Stadia will cease to accept all new business from new and/or existing clients for which it has Part IV permission with immediate effect.

‘New business is deemed to be any business that is not already contracted with the client prior to this variation taking effect.’

It added: ‘Stadia may only hold or control client money and assets in respect of personal pension scheme(s) that the firm operates.’

Hales said it was a short term measure due indirectly to capital adequacy.

‘It’s effective immediately, [it’s] voluntary, for the short term while we engage some structural changes,’ he said.

Stadia was one of eight small Sipp firms to be inspected by the FSA in 2011 as part of the regulator’s efforts to tackle the risks posed by small firms and unregulated collective investment schemes (Ucis).

Stadia has a heavy weighting in Ucis and overseas investments.

At the time of the inspection Hales said: ‘I’m not afraid of what the FSA finds. What I feel confident about is, if they question things, we have a process in place to refer them to.’

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4 comments so far. Why not have your say?

Michael Brown

Feb 27, 2013 at 10:52

Now, not only will reduce the amount of IFA's we shall also remove the amount of SIPP providers as well.

Having said that, it is important that any business is viable and has an adequate capital based to which to work with or another fee hike is just around the corner?

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Zoomer

Feb 27, 2013 at 13:55

Is this the first of a number of SIPP providers who are now facing the consequences of allowing too many unregulated funds in their SIPP?

Who will be next?

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Anitaki

Feb 27, 2013 at 18:48

UCIS AND overseas investments looks to be a toxic combination now

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stu jones

Feb 28, 2013 at 00:39

Anitaki: Guardian Sipp and Lifetime Sipp and anyone else that TailorMade and Marcus James have used for Harlequin and Storage Pods etc is my guess. Basically any Sipp company that was too lazy to do own Due Diligence and went down the SIPP Investment Platform Route. Ill conceived uncorrelated investments have attracted the worst of the timeshare boys.

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