UK pension schemes which fail to offer provision for dependants of same sex partners may be greatly under-estimating demand, according to Compass IFA.
The adviser said gay employees may not be complaining about a lack of provision as they are still not open about their sexuality.
Compass IFA’s Chris Morgan, who is a campaigner for equal financial rights for gays, said: “Employees need to make their feelings known, but it is very difficult because some of them are not ‘out’ and are sitting there quietly simmering over the subject.”
While private schemes have introduced provisions to cater for same sex partners, public sector schemes have been accused of lagging behind.A test law case against the NHS pension scheme is currently being prepared by the civil rights group Liberty.
It is representing two retired male NHS nurses who have lived together for 40 years and are seeking for a judgment either based on the UK Human Rights Act or from the European Court in Strasbourg.
Morgan explained the opposition pension schemes had to the reform: “Maybe it is because we do not have children there is a myth that our relationships are more short-term.
“Maybe they feel that it would leave them open to abuse, by putting somebody down who is not their long term partner, but surely there are ways round that.”
Morgan said that he would not have an issue with gay couples proving dependency as this would be the same as unmarried heterosexual couples.
Morgan has also campaigned for recognition of same sex partners as dependants from the main insurance companies.
In all he has received positive replies from 10 providers in the last year including Clerical Medical, Eagle Star, Friends Provident, Norwich Union, NPI, Scottish Equitable, Scottish Widows, Scottish Life, Skandia Life and Standard Life.
The Pensions and Lifetime Savings Association (PLSA) has announced it will shrink its board by more than one-third as part of a governance overhaul to make it "agile and more appropriate".
Smaller FTSE 350 defined benefit (DB) schemes were nearly 15 percentage points less well-funded than larger schemes in 2017, according to a Goldman Sachs Asset Management (GSAM) analysis.
The advent of collective pension systems could help the UK avoid demographic challenges which will make it "impossible" for society to help savers in retirement, experts say.