ABI: Pension scheme self-certification measures need more work

Commenting on the announcement today from Rosie Winterton MP, Minister of State for Pensions, on proposed new rules to enable employers to self-certify their workplace pension schemes, Maggie Craig, the ABI’s Director of Life and Savings, said:

“We support the principle of employer self-certification and appreciate the Government’s commitment to it. We share that commitment and want these reforms to ensure that as many employees as possible have access to good quality workplace pensions, that they are straightforward for employers to administer and do not lead to a levelling down of existing pension contributions.

“However, we, along with other industry groups, remain concerned that the wording of the key amendment to the Pensions Bill on self-certification may not achieve these aims. The current drafting of the amendment adds considerably to the administrative burden for employers and risks discouraging them from continuing to provide pensions to their employees that have higher contributions than the level set for personal accounts.

“We sincerely hope that this issue can be resolved, and we will continue to work with the Government on the details of their proposals to ensure that the interests of pension savers and employers are properly protected and these reforms fully achieve their objectives.”

– ENDS –

Notes for Editors

1. Enquiries to:
Jonathan French 020 7216 7392 (Mobile: 07958 330 480)
Malcolm Tarling 020 7216 7410 (Mobile: 07776 147 667)
Erfan Hussain 020 7216 7411 (Mobile: 07712 841 184)
Kelly Ostler-Coyle 020 7216 7415 (Mobile: 07968 364 302)

2. The ABI is the voice of the insurance and investment industry. Its members constitute over 90 per cent of the insurance market in the UK and 20 per cent across the EU. They control assets equivalent to a quarter of the UK’s capital. They are the risk managers of the UK’s economy and society. Through the ABI their voice is heard in Government and in public debate on insurance, savings and investment matters.

3. An ISDN line is available for broadcasts.

Copies of all ABI news releases, together with other information from the Association, can be seen on our website http://www.abi.org.uk