The Trades Union Congress is to launch its own stakeholder pension plan
for up to one million of union members who do not have pensions.
The plan, which will be available through all the TUC's affiliated member
unions, is in the process of being fleshed out, with the TUC known to be
negotiating with several potential providers.
It is the TUC's aim to launch the plan on October 1, with members joining
from April next year.
The congress says it has a working party consisting of delegates
representing membership, looking at details of the proposed scheme.
The party will also be looking at ways to raise awareness of stakeholder
through employers and unions.
While welcoming the stakeholder plans, some providers and IFAs have
expressed concern that the TUC may restrict membership to union members
They fear that, by restr icting membership, many employers which would
have otherwise designated the TUC plan as their own stakeholder, will have
to look to provide an alternative scheme for their non-union-member
But the TUC denies it is considering such a move, saying it is unlikely
that union membership will be a condition for joining the scheme.
A TUC spokesman says: “At the moment we are looking for a provider. We are
just looking at how we might run a scheme and have not actually got any
full details yet.”