Ananova:

Insurer Norwich Union is paying back a total of £11m to pensions customers after a charging error.

Around 34,000 people who bought stakeholder pensions when they were introduced in April 2001 will benefit.

They will get an average of £300 back from the firm, which is part of insurance giant Aviva.

The blunder relates to charges for stakeholder pensions, which are capped by the Government at 1%.

Norwich Union found it had accidentally been charging people more since the products were first taken out.

The problem was uncovered during a review to ensure the group was treating its customers fairly.

A statement from Norwich Union said: "We have kept the Financial Services Authority (the City watchdog) fully informed."

People who have already retired will receive their £300 refund by cheque in the next few weeks.

Those who have yet to draw their pension will have it increased to the level it would have been at had no mistake been made.