Stakeholder pensions see miserable gains
by Gill Montia
Story link: Stakeholder pensions see miserable gains
Investors in stakeholder pensions have seen growth of just 10% since their launch in April 2001. According to MetLife, someone investing £100 a month gross since launch (total contributions of £13,300) had a fund worth £14,600 after charges at the end of March 2012, with the fund value likely to have fallen again since. The [...]
Low engagement levels in the run-up to auto-enrolment
by Gill Montia
Story link: Low engagement levels in the run-up to auto-enrolment
Aviva’s first ever Savings Engagement in Employment Index has exposed low levels of engagement in the run-up to automatic enrolment. According to the insurer’s research, 68% of employees questioned have little or no knowledge of automatic enrolment and only 43% of those currently without a pension said they would remain in a scheme once they [...]
Auto enrolment aligned with tax and NI thresholds
by Gill Montia
Story link: Auto enrolment aligned with tax and NI thresholds
The Government has today published its response to the consultation on the earnings threshold for auto-enrolment. With just over six months to go before the largest employers begin enrolling eligible workers into pension savings, the response sets out that automatic enrolment rates for the 2012 / 2013 tax year will be aligned with tax and [...]
Aon surveys auto-enrolment landscape
by Gill Montia
Story link: Aon surveys auto-enrolment landscape
Aon Hewitt has launched its latest benefits & trends survey, which highlights the challenges UK companies face when developing employee benefits programmes. According to the study, the three most pressing issues are: managing cost; addressing low levels of employee engagement; and dealing with legislative changes. Auto-enrolment, where employees will automatically join a company pension scheme, [...]
DWP publishes definitive auto-enrolment timetable
by Gill Montia
Story link: DWP publishes definitive auto-enrolment timetable
The Department for Work and Pensions has today published a new timetable clarifying auto-enrolment starting dates for employers of all sizes. Automatic enrolment will begin in October 2012 and all existing firms will need to have enrolled their staff by April 2017, followed by all new employers by February 2018. Also today, new research from [...]
Non-transparent charges a block to auto-enrolment
by Gill Montia
Story link: Non-transparent charges a block to auto-enrolment
Around three million workers are likely to turn their backs on the Government’s auto-enrolment scheme, with over a quarter put off because they don’t trust the pensions industry. New research conducted by Populus for the National Association of Pension Funds (NAPF) suggests that one in three people will shun auto-enrolment, up from one in four [...]
Communication key to auto-enrolment success
by Gill Montia
Story link: Communication key to auto-enrolment success
Standard Life has come up with advice for government, employers and the insurance industry, aimed at making pension auto-enrolment a resounding success. In a new report, the firm claims that once a clear picture of the value of employer contributions and the tax advantages of auto-enrolment have been presented, 82% of workers warm up to [...]
Capita named auto-enrolment outsourcer
by Gill Montia
Story link: Capita named auto-enrolment outsourcer
The Pensions Regulator has appointed Capita to help it communicate with employers over auto-enrolment, given that new pensions legislation means one million employers need to be contacted over the five-year period (starting from next October) that will see the full introduction of the scheme. Under the seven-year agreement, Capita will take on responsibility for delivering [...]
Aon spots Pensions Bill blunder
by Gill Montia
Story link: Aon spots Pensions Bill blunder
Aon Hewitt is calling for a change in the Pensions Bill before it comes into force. According to the human resources specialist, many organisations are planning to extend auto-enrolment to everyone, regardless of earnings or age. However, as it stands, the legislation requires the employer to recognise different categories of worker with their own distinct [...]
Britons positive on pension auto-enrolment
by Gill Montia
Story link: Britons positive on pension auto-enrolment
Britons are viewing government plans for auto-enrolment in workplace pension schemes as positive, according to the Aviva Family Finances Report. Research for the study reveals that 72% of UK family heads interviewed do not currently contribute to a workplace pension scheme, although nearly three-quarters of this group would be happy to join if their contributions [...]
