-
OFT to investigate pension scheme provision
Pension firms that run "defined-contribution" schemes for employers will be scrutinised by the Office of Fair Trading (OFT). As many as nine million workers will be automatically enrolled into such schemes during the next five years. The OFT wants to make sure that employers, and their staff, get a good deal and that charges are not too high. The Association of British Insurers (ABI) has welcomed the enquiry as "timely". "The pensions environment is changing dramatically and auto-enrolment is set to bring millions of workers into pension savings," said Otto Thoresen, director general of the ABI. "Pension charges have fallen to their lowest level, and industry initiatives are set to ensure charges and costs are disclosed clearly in a consistent format, and that people nearing retirement get more help to get the best pension deal," he added.....More on this story: BBC News - OFT to investigate pension scheme provisionYou must be logged in to post a comment.
- Hi & Welcome to the AAD Consumer Forum
We're a FREE consumer debt and legal forum offering help, support and debate in many areas of day-to-day life. You will need to Register a Free Account before you can join in with the discussion and contribute with your own posts. Remember to also check out the FAQ's so you can get to grips with how the forum works ready to start posting your new topics. Read about the new GDPR 2018 Rules and how it affects you as a member of AAD.
Tweet
The OFT today launched a market study to examine whether defined contribution workplace pension schemes are set up to deliver the best value for money for savers. The market for these pensions is going through a period of significant change which will see an expected rise in the value of annual contributions of around £11 billion by 2018. At present around four million people in the UK are saving into a defined contribution pension scheme. Last October the Government introduced automatic enrolment, an important initiative that requires employers to pay into a workplace pension scheme for all staff unless they opt out. Automatic enrolment is being staged in over the next six years, starting with larger employers last autumn, followed by medium sized then smaller employers, so that by 2018 an additional six to nine million workers will be enrolled in a scheme....OFT Link: OFT launches workplace pensions market study - The Office of Fair Trading