UK - More than 90% of stakeholder pension schemes receive no contributions from employers, a new study shows.
Research by accountancy and business adviser PKF shows that while more than 340,000 employers have set up stakeholder plans, only 9% are contributing anything to them.
Managing director Frank Williamson said: “The vast majority of schemes are empty boxes.
“Employees are bearing the full cost of saving for their retirement with no real help from their employers.”
He claimed that existing legislation did not go far enough and called on the government to make contributions by employers and employees mandatory.
He added: “The only option, however unpalatable, is to make it compulsory for both employers and employees to contribute to stakeholder pension schemes.”
Industry experts are calling on the government to act quickly on new pensions dashboard legislation. The DWP is looking at how to do it amid Brexit constraints, writes Kim Kaveh.
An interactive and hands-free technology that allows savers to track how much they have invested into their retirement pots has been launched by Smart Pension.
The Lighthouse Pensions Trust has recorded an 84% surge in the number of employers signed up to its auto-enrolment (AE) provision.
Melrose Industries's UK defined benefit (DB) schemes had a £5.5m combined deficit at the end of 2016, its annual results have revealed.