You are here: Home - Uncategorized -

Turner’s “Britsaver” remains controversial

Written by:

Experts remain divided over the introduction of a National Pension Saving Scheme (NPSS) proposed by Lord Turner to encourage pension provision.

Following the publication of the third report from the Pensions Commission, led by Lord Turner, many experts are still concerned about the introduction of the scheme – dubbed the Britsaver – which would see company employees automatically enrolled into the NPSS unless they chose to opt out.

Under the proposals, employees, employers, and the taxman would contribute to a Government operated scheme.

However the National Association of Pensions Funds has warned that such a fund would rely too much on Government bureaucracy, and it has urged the Government to allow the industry to run the fund instead.

NAPF chief executive Christine Farnish, said: “A single NPSS run by a government appointed body, responsible for a complex new computer system and the design of a lifestyle fund into which many millions of people will be defaulted, is not the best way.”

It instead wants a model run by the industry, and the Association of British Insurers (ABI) claims it would be able to run such a model.

Stephen Haddrill, the ABI’s director general, said: “The pensions industry has the experience and infrastructure to operate a new savings scheme based on automatic enrolment and employer contributions, without the risks and costs of a new state organisation.”

It remains to be seen whether the government will push forward with Turner’s proposed pensions reforms, however the Government has claimed it is nearing a consensus on the way forward.


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Banks pushing payment insurance too hard

Most UK banking customers feel that they are pushed too hard into taking out Payment Protection Insurance, research has revealed.