The September edition of DC and Auto-enrolment looks at two tier pension schemes and how partnerships are helping businesses deal with auto-enrolment.
Recently we have seen several cases of DC providers collaborating with low cost pension providers such as NEST and The People's Pension to offer two tier pension arrangements.
The rationale behind such decisions seems clear. If certain providers are unable to service lower paid workers then collaborating with those who will can save employers a great deal of stress.
However, reading through the auto-enrolment panel in this supplement (pages 6-10) highlights that such partnerships may not be straightforward.
Hargreaves Lansdown's Lucy Lawrance points to several challenges. For instance, how will the different providers' systems work together? Will they need to be adapted and if so who takes responsibility for that? How much will it cost to do so?
These are important issues that will need to be addressed quickly if these collaborations are to work well. I think we are in for interesting times ahead!
MPs have concluded the regulator was not responsible for the collapse of plans to rescue the BHS pension schemes. Michael Klimes examines the report
Lack of consistency across defined contribution (DC) default funds may result in larger numbers of members opting out, Punter Southall has warned.
Fresh thinking is needed to make defined benefit (DB) schemes sustainable in wake of MPs’ damning conclusions on British Home Stores (BHS), according to experts.
This week we want to know if Theresa May’s (pictured above) government is downgrading pensions and if capital adequacy requirements for master trusts could make them insolvent.