18 November 2014

News roundup

We bring you a round up of some of the recent pension industry news.

UK pensions given more flexibility to access savings

The Financial Times (FT) has reported that proposals presented to parliament in October outline plans to allow consumers more flexibility to access their pension savings from April 2015.

Consumers will be able to take a series of smaller, tax-free lump sums from their pensions, rather than one single lump sum. Read the full article.*

Consumer guidance guarantee research outcomes

Following the announcement of the guidance guarantee for consumers approaching retirement post April 2015, research carried out by different organisations analyses the potential take-up.

Results appear to differ widely from 2.5% up to 92%. New Model Adviser gives an overview of the results.

Regulator has no plans to bolster UK pension safeguards

The FT reports that the City regulator has no plans to introduce tougher safeguards for consumers ahead of radical reforms of the pensions market which will be introduced in April 2015.

Consumer groups have been vocal about concerns for those who do not take up the offer of free guidance having no 'second line of defence'. See the FT website for the full article.*

What the ONS data tells us about contribution habits

Pensions Expert published ONS data analysing average employee contributions by size of employer.

The piece gives an interesting insight into both employee and employer contribution habits at different sized UK employers, and the differences of average contributions between defined benefit and defined contribution schemes. Read the full Pensions Expert article.

Employers supporting employees through the new retirement freedoms

Workplace Savings and Benefits (WSB) published research findings where employers were asked if they were worried about helping employees deal with the new retirement freedoms. The results showed that 34% of respondents said they were worried but 53% said they were not.

The article provides an overview of the results and comments from employers. Read the full research findings.

*NB You will need to register with the FT to get free access to this article subject to terms and conditions.