UK pensions: People need to shop around for an annuity, as difference in rates at upper and lower end of the market for a standard annuity is 17 per cent January 11, 2016 An investment company has urged those purchasing an annuity to shop around, as it today revealed figures that showed the average annuity rate had dropped off in the last quarter. The analysis by Retirement Advantage found that the average annuity rate fell by 3.2 per cent in the final quarter of 2015, thanks in part [...]
UK Pensions: MPs warn Department for Work and Pensions that people are confused by new state pension and communications need to be improved urgently January 11, 2016 MPs have called on the Department for Work and Pensions (DWP) to urgently change the information sent to people reaching retirement age after it was discovered that confusion was rife over the new state pension. An interim report published today by the Commons Work and Pensions Select Committee highlights some of the responses received from [...]
UK legal costs hit $700m for Nortel January 10, 2016 The ongoing row over bankrupt Canadian tech giant Nortel Networks has racked up legal costs in the UK of over $700m (£482m), sources close to the proceedings tell City A.M. Three groups of creditors, including 33,000 UK pensioners, Canadian pensioners and US bondholders, have been unable to agree who gets what from the $7.3bn to [...]
UK pensions: Over one million Londoners have lost pension pots January 5, 2016 Keeping track of our pension funds as we flit from job to job is a challenging task, and a fresh survey has found that 1.3m Londoners are missing out on pension pots. We know, pensions aren’t exactly the most exciting thing, and you’re a busy person. But that negligence could be costing you dearly – [...]
UK pensions: Defined benefit pension schemes deficit edging downwards in private sector companies January 4, 2016 UK private companies have marginally narrowed the deficit they are running on their defined benefit (DB) pension schemes. Figures from JLT Employee Benefits show that, at 31 December 2015, funding for DB pensions in all UK private sector pension schemes stood at a £228bn deficit. By comparison, at 31 December 2014, the deficit was £248bn. [...]
Pension tax relief changes are forcing employers to rethinking how they reward their higher earners December 23, 2015 A third of companies have gone back to the drawing table over how they reward their higher earners, as new restrictions slash the amount people can put into a pension pot tax free. Research released today by professional services firm PwC found that changes to the annual allowance for higher earners, which are due to come [...]
UK Pensions: ICAEW warns that the secondary annuity market could leave pensioners worse off December 16, 2015 The government's newly-unveiled secondary annuity market may only benefit a handful of people and could leave many pensioners worse off, an industry body for accountants has warned today. The Institute of Chartered Accountants in England and Wales (ICAEW) also cautioned that the plans, which were announced by the Treasury yesterday, were likely to be expensive to implement. John [...]
UK pensions: Industry experts react to the Treasury’s secondary annuity market plans announcement, cautioning that people should seek advice and not rush decisions December 15, 2015 That’s not festive spirit in the air you’re sensing – people are getting pretty excited about the Treasury’s announcement this morning of plans to create the long-awaited secondary annuity market. However, pensions industry figures are urging the five million people currently receiving income from an annuity not to get too carried away. The changes are [...]
Treasury reveals details of its plan to extend pension freedoms as economic secretary Harriett Baldwin unveils plans to create “new secondary annuity market” December 15, 2015 The Treasury has revealed details of its plans to extend pension freedoms to more than five million people as part of a move to create a secondary annuity market. Economic secretary to the Treasury Harriett Baldwin said this morning the tax restrictions will be removed from 6 April 2017, making it easier for people to sell their annuity for an [...]
Almost half of pensions industry professionals believe pensions will become a less important part of benefits in the future December 14, 2015 Today's businesses might be able to use a generous pension package as a key selling point for top talent, but will that ring true in the future? A survey released today by Aon Hewitt has discovered that 42 per cent of pensions professionals believe pensions will form a less integral part of benefits in the [...]