At a time when there are lots of changes in the pension industry the right approach to technology for your pension scheme can make a real difference to the outcomes.
2015 will be a busy time in pensions as many factors align which will affect all workplace retirement savings:
- The ‘Freedom and Choice in Pensions’ changes in the budget allow defined contribution (DC) members to access their retirement savings in any pattern they like (once they are old enough). This leads to very complicated choices for those members.
- Employers with defined benefit (DB) schemes will be thinking about how those DC changes affect them. The changes are likely to lead to a restructuring of the liability profile of DB schemes, potentially making de-risking strategies for closed DB schemes more attractive.
- Employers with open DB schemes will also need to be planning for the abolition of contracting out in 2016. This may lead to benefit changes, possibly including some of the new flexibilities around risk-sharing being introduced in the Pensions Bill.
Luckily, this comes at a time when the technology is available to help steer a clear path through these complicated changes.
Our latest briefing note looks at things to watch out for to make sure technology is working for you in your pension scheme