5 Reasons why you should review your DC pension arrangement
03 Oct 2023
Many of your employees will be relying on a workplace pension to support their retirement. It’s a core benefit, and the spend on DC pensions is usually a significant cost for many employers.
In the current high inflationary environment, increasing employer or employee pension contribution spend is not always possible. So it’s important that you’re getting maximum value from your pension provider for your employees, as this can have a profound impact on their retirement outcomes.
Over the last few years, we’ve seen a rapid move from single trust-based schemes to Master Trusts, and also a shift in some from contract-based arrangements to Master Trust. We expect this trend to continue following the regulatory steer on consolidation of small schemes and focus on value. As a result, we see providers looking to develop their propositions, both to grow and retain their assets under management. This presents significant opportunities for employers to ensure they’re getting the most value from their provider. Our research and analysis suggests that a review of your pension arrangement could lead to an increase in members’ pots at retirement by up to c15%.
We want every member to have the best possible retirement outcome.
Download our five reasons why you should consider reviewing your current arrangement.
If you have any questions about reviewing your current arrangement to ensure best value for money, or moving to a new arrangement to seek better value, please get in touch