Legal & General Network (LGN) is fixing its current charges for existing services for mortgage, protection and GI business until January 2014.
This comes after several networks recently announced fee charge increases for their appointed representatives.
Since M-Day in 2004, LGN takes its appointed representative fees from one source, a small percentage of the procuration fee. There are no firm fees, no adviser fees and no overall percentage of turnover fee.
Duncan Crocker, managing director, LGN 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.
“In fact we have not changed these fees since M-Day and our partner firms have benefited from this simple clear and stable arrangement for the last eight years and we believe they represent great value for money. We are a profitable business and are a critical strategic component of Legal & General’s intermediary strategy.
“Firms who join us do so with confidence, that these fee charges will not be moving for at least the next 14 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.”
