Are fund managers allowed to charge 16.7% anually for pension fund charges?

[mojorising2]

I have recently checked the charging structure details of my Zurich pension that I have held for the past 26 years

I have been told by Zurich that the following monthly charges apply to my pension:

Zurich Charge 1.2% monthly
Fund Management Charge 0.19%

For a total of 1.39% per month

This works out to 16.7% annually

This seems a bit high

I read here that funds are not allowed to charge more than 0.75% per month which is 9% anually

https://www.moneyhelper.org.uk/en/pensions-and-retirement/pensions-basics/pension-scheme-charges

Are my fund managers allowed to charge 1.39% per month?

The funds were originally Eagle Star but changed names and owners a couple of times over the years to currently be Zurich managed funds

The link you shared stated 0.75% per year, not per month. I suspect that is the same for your policy. Unless you pot was invested in something that out performed the market by more than double the charge you state would simply eat into your pot.
That being said, it is still on the high side as an annual charge.

0.75% annually is charge cap for auto enrolment pensions (QWPS)

that Zurich charge looks to be an annual charge not a monthly one. Think the FCA would have a shit fit if that was monthly!

Typically charges in modern personal products will be less than 0.75%. Older ones I’ve seen over this up to around the 3% mark for older products (all annual charges, not monthly)

check any exit charges on your plan and any guaranteed benefits. If you’re not happy with return you can shop around for a modern product with lower charges.

^Thanks

Seems like it was crossed wires on the phone. The girl I was talking to kept saying the 1.2% (zurich) and the 0.19% (fund) were both monthly charges

I think she meant it was an annual rate which was charged monthly

Are there currently limits on how much an institution can charge for managing a pension?

Zurich lists most of their management fees as 0.65-0.85%

So the 1.2% management fee they are applying to this old Eagle Star pension is high. Eagle Star were acquired by Zurich in 1999 which is why it is now a Zurich pension

If there are rules then do they apply to legacy products?

Like when the rule came into force were legacy pensions required to reduce their fees or did the rule only apply to new products?