UK - Vague and inaccurate data cast doubt over the National Audit Office's calculations that the £1.4m savings cap will affect 10,000 people, consultants claim.
HSBC Actuaries & Consultants said that while there was “much logic” in the NAO findings, the 40-page report’s numerous references to vague data was concerning.
But director of marketing Simon Hazeldine said a lack of comparable figures made challenging the conclusion difficult.
He said: “The total exclusion of post-July 1989 members could be defended but may be inappropriate. Either way it will probably be difficult – if not impossible – to dispute the figures credibly, at the very least because seemingly accurate data is not available to do so.”
Hazeldine was disappointed unlimited allowance now looked unlikely. But he added: “If this is the price of simplification let’s accept it and get on with it.”
Lane Clark & Peacock partner Francis Fernandes agreed.
“The level and indexation of the lifetime allowance was always going to be a political decision in the end. But now that the NAO has reported, let’s hope we have no further dilly-dallying and chancellor Gordon Brown gives the green light to the new regime.”
Most respondents in this week's Pensions Buzz do not think businesses should be able suspend AE contributions if in financial distress.
Former BHS owner Dominic Chappell has lost the appeal against his section 72 conviction and sentence for failing to hand over information to The Pensions Regulator (TPR).
This week's top stories include Marsh and McLennan Companies agreeing to buy JLT, and the home secretary calling for AE to be scrapped in a no-deal Brexit scenario.
Lesley Titcomb says the watchdog wants closer interactions with pension funds to spot problems sooner and act before having to use its more stringent powers