The network said it would be fixing its current charges for existing services for mortgage, protection and GI business until January 2014.
The network takes its appointed representative fees from one source, a percentage of the procuration fee. It said the amount charged taken from the procuration fee has remained unchanged since M-Day in 2004.
Duncan Crocker, managing director, of the Legal & General Network, said: “We believe it is important to our partner firms to be able to plan with confidence, particularly in these times of economic turbulence and regulatory shifts, especially with RDR looming and the MMR just behind it. So we are happy to announce that the fees we charge our appointed representatives for their mortgage and protection business will not change, at least until the start of 2014 unless there are any new regulator costs imposed that we are not expecting.
“Firms who join us do so with confidence, that these fee charges will not be moving for at least the next fourteen months. Thereafter we will undertake our regular periodic review in the light of market conditions and our cost base. Simple and stable fees, excellent development support, bespoke training and the reassurance of working with an established and financially strong company are compelling reasons to be with LGN.”
LGN’s fees structure for wealth management business, taking into account the changes that will be required for RDR will be announced later this year.
