Industry Voice: Digital revolution needed within pensions, report states

clock • 1 min read
Industry Voice: Digital revolution needed within pensions, report states

The pensions industry is failing to embrace digitisation, new research from Smart Pension and Professional Pension has found, resulting in a system that may not be able to facilitate future needs.

Auto-enrolment has fundamentally changed the UK pensions industry, bringing more people than ever into schemes. But on the back of this, the issue of low engagement through inertia risks creating a ‘time bomb' for pension trustees, with members only realising that they don't have sufficient savings for their retirement when it's too late to act.

In our survey, 71% of respondents describe their scheme's member engagement as "average", "poor", or "very poor"."

The report, Pensions - an industry ripe for a digital revolution', surveyed 106 UK defined contribution (DC) schemes, and found that only 36% offered members an online service available through a smartphone app. This is despite consumers becoming accustomed to technology-centric financial services.

Smart's Chief Technology Officer and Group Technology Lead Sam Barton has called for a "digital revolution" in the pensions sector and an overhaul of the way technology is approached by providers.

"Everything needs to change," said Barton. "Not just the technology - but also the people who run it."

Read the full report HERE.

 

This article was funded by Smart.

More on Industry

No consensus on whether trustee boards should have at least one accredited member

No consensus on whether trustee boards should have at least one accredited member

PP poll finds 50% of industry say trustee boards should have one accredited member

Martin Richmond
clock 16 May 2025 • 2 min read
One third of DC savers have less than £10,000, FCA says

One third of DC savers have less than £10,000, FCA says

Financial Lives survey finds only a minority had received financial advice

Jasmine Urquhart
clock 16 May 2025 • 2 min read
Professional Pensions: Stories of the week

Professional Pensions: Stories of the week

Mansion House Accord, Pension Schemes Bill expectations, and a £120m buy-in deal

Professional Pensions
clock 15 May 2025 • 1 min read
Trustpilot