View more on these topics

&#39Stakeholder not sparking pension revolution&#39

The Industrial Society says there is no real evidence of a pension revolution brought about by stakeholder and there is no rush to switch from defined-benefit schemes to defined-contribution schemes.

Nearly 60 per cent of the 5,600 respondents to the society&#39s latest survey on pension schemes felt that the impact of stakeholder on occupational pension provision was uncertain.

The report said it is wrong to move to greater reliance on private pensions without better safeguards in place for the way pension provision is structured.

It says it is concerned that the change brought by the new pension regime does not offer members equivalent benefits.

Policy specialist Yvonne Bennion says: “Although it is clear that employees have not rushed en masse away from defined-benefit schemes to defined-contribution schemes, there is a very real concern that employer contributions in definedbenefit schemes are often lower than in good definedbenefit schemes.

“Employers need to ensure that their level of contribution schemes is sufficient, especially when it comes to older workers, to ensure there is adequate provision for such employees.”

Riach Independent Financial Advisers principal Bob Riach says: “For small businesses who want to do the bare minimum to comply, it may be best to recommend they do not take action until June as there is still a lot of uncertainty surrounding the market.”

Recommended

US multi-manager SEI opening with Fof trio

US multi-manager giant SEI Investments is to begin its assault on the IFA market in July with the launch of three UK-based funds of funds.The SEI growth, balanced and income unit trusts will invest in a range of actively managed funds from managers across the globe, including smaller UK houses such as SG Asset Management […]

Sophisticated Sipp from PimCo

PimCo Trustees has introduced a self-invested personal pension plan (Sipp) that is aimed at the sophisticated end of the market. The essential Sipp is a full Sipp that has a set-up fee of £425 and an annual fee of £375. Investors can choose any type of investment that the Inland Revenue allows to be held […]

Mercantile brings down rates with new mortgage

Tyneside-based Mercantile Building Society has brought in the 1.85 per cent discounted mortgage.Aimed at both first time buyers and people who are looking to remortgage, the mortgage has a discount of 1.85 per cent for the first three years of the loan, giving it a payable rate of 5.29 per cent for loans of up […]

Heath says IFAs need a new name

The phrase “independent financial adviser” may need to be changed to increase clarity among consumers, according to former IFA Association director general Garry Heath.Heath, director of Portfolio Members Services, says polarisation underpins the status of IFAs and if polarisation is scrapped, it could be time to redefine the territory to send a clear message to […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com