Skandia to introduce clean share classes alongside rebate model

Skandia is to add clean share classes to its platform following HM Revenue & Customs' decision that rebates to customers are taxable.

The platform will continue to pay a unit rebate "where possible" following the introduction of the new share classes, in a bid to maintain current prices and minimise tax liabilities for customers. The move follows Standard Life's decision, revealed by Investment Week yesterday, to move to a clean share class model and scrap rebates by April 2014. Skandia, however, said its own introduction of clean share classes will act as a "complement" to its existing unbundled unit rebate model. "This development will enable advisers and their clients to select the share class most appropriat...