Pensions news: page 3
- June 2024
Pensions dashboards expected to open to the public from summer 2024 at the earliest
Pension schemes are joining the dashboards system in stages from spring 2023, but the public will not be able to view their pots through a dashboard until summer 2024 at the earliest.
- May 2024
Conservative Party announces 'triple lock plus' policy to uprate pensioner personal allowance with the triple lock
The Conservative Party has said that if re-elected it would raise the pensioner personal allowance in line with the triple lock, reaching £14,340 by 2029-30 and cutting tax for around 8 million pensioners.
- April 2024
Pensions lifetime allowance to be abolished from 6 April 2024
The pensions lifetime allowance was abolished from 6 April 2024 under the Finance Act 2024, removing the cap on total pension savings that could be built up without an extra tax charge.
FCA to consult on value for money framework rules in spring 2024
The Financial Conduct Authority has signalled that detailed rules for a new value for money framework for defined contribution workplace pensions will be consulted on in spring 2024.
Inflation-linked benefits uprated by 6.7% and State Pension by 8.5%
Inflation-linked Department for Work and Pensions benefits rose by 6.7% in April 2024, while the basic and new State Pension increased by 8.5% for 2024/25.
Online state pension top-up tool launched by HMRC and DWP
HMRC and the Department for Work and Pensions have launched an online tool letting people under state pension age check National Insurance gaps and pay voluntary contributions without phoning.
New system applies to pension contributions from 2024-25 tax year
A new system applies to pension contributions made from the 2024-25 tax year, giving low earners in net pay workplace pensions a top-up payment from HMRC.
- March 2024
General code of practice in force from 28 March 2024
The Pensions Regulator's general code came into force on 28 March 2024, setting out duties for pension scheme governing bodies on governance, internal controls and mitigating the risk of scams.
New pensions dashboards timeframes published with October 2026 connection deadline
New connection timeframes for pensions dashboards set a 31 October 2026 deadline for all 3,000 pension providers and schemes, with larger schemes starting from April 2025.
- February 2024
ERC research shows retirement confidence falling sharply
An Equity Release Council survey of 5,000 people found 46% are not confident about their future finances, up from 35% in 2021, with the sharpest fall among retirees aged 65 to 74.
PLSA raises required retirement income figures
The Pensions and Lifetime Savings Association has raised its estimate of the income a single person needs for a moderate retirement by £8,000 to £31,300 a year, as cost of living pressures and family support push up required spending.
- December 2023
DWP expects to complete State Pension underpayment correction by end of 2023
The Department for Work and Pensions expects its exercise to correct historical State Pension underpayments to run until the end of 2023, having underpaid an estimated 134,000 pensioners.
Vanguard launches Managed Personal Pension
Vanguard launched its Managed Personal Pension in December 2023, a service in which the firm selects funds and manages the portfolio on the client's behalf rather than leaving investment decisions to the saver.
- November 2023
Autumn Statement 2023 raises working-age benefits by 6.7% and state pension by 8.5% for 2024-25
Chancellor Jeremy Hunt has raised working-age benefits by 6.7% and the State Pension by 8.5% for 2024-25, while tightening sanctions for claimants who do not look for work.
Government announces package of pension reform at Autumn Statement
The government has announced a package of pension reforms covering small pot consolidation, a lifetime provider model, Local Government Pension Scheme pooling and a cut to the authorised surplus payments charge.
Autumn Statement papers published with pensions focus
The government published a set of pensions papers alongside the Autumn Statement, covering small pots, a lifetime provider model, collective defined contribution, master trusts and trustee skills.
Chancellor announces exploration of one pot for life reforms
The Chancellor has announced that the Government will explore reforms to let people choose their own pension scheme for automatic enrolment, and a call for evidence on a "pension pot for life" has opened.
DWP confirms multiple default consolidator plans
The Department for Work and Pensions has confirmed it will proceed with a multiple default consolidator model, under which small inactive workplace pensions are transferred automatically to an authorised consolidator.
- October 2023
Five Steps to Better Pensions Final Report published
Pensions UK has published its Five Steps to Better Pensions final report, warning that most people in the UK will retire with inadequate pension income without policy intervention.
Rollback of remediable service to the legacy scheme takes effect
From 1 October 2023 pensionable service built up between 1 April 2015 and 31 March 2022 is treated as always having been in the legacy scheme, under the public service pensions remedy.
New tiered contribution rates proposed from 1 October 2023
The Scottish Public Pensions Agency has consulted on draft regulations that would replace the NHS Scotland pension scheme's single contribution table with two new tables from 1 October 2023.
- September 2023
Over half a million more pensioners could pay income tax after 8.5% state pension rise, experts warn
LCP estimates around 650,000 more people aged 65 and over would become income taxpayers if the state pension rises 8.5% in April 2024 while the personal allowance stays frozen at £12,570.
Automatic enrolment extension reforms receive Royal Assent
A Private Members Bill extending automatic enrolment to workers under 22 and removing the Lower Earnings Limit has received Royal Assent, the Pensions and Lifetime Savings Association has confirmed.
- August 2023
Cabinet Office confirms McCloud remedy regulations will proceed
The Cabinet Office has confirmed it will proceed with regulations implementing the second phase of the McCloud remedy for the Civil Service Pension Scheme, with the rules expected to take effect from 1 October 2023.
- July 2023
Tax information and impact note published on abolishing the pensions lifetime allowance
HMRC has published a tax information and impact note on abolishing the pensions lifetime allowance from April 2024, limiting tax-free cash to £268,275 and lump sums before marginal rate taxation to £1,073,100.
Government, FCA and TPR publish Value for Money consultation response
The government, the Financial Conduct Authority and the Pensions Regulator have published their response to a consultation on disclosing, assessing and comparing the value for money of workplace pension schemes.
- June 2023
Amending regulations replace staged connection timetable with single deadline of 31 October 2026
The Pensions Minister laid amending regulations in June 2023 replacing 23 staged connection deadlines for pensions dashboards with a single mandatory deadline of 31 October 2026.
State pension top-up deadline extended to April 2025
HMRC has confirmed that people will have until April 2025 to pay voluntary National Insurance contributions for historic gaps, extending a deadline that had already been moved once.
- May 2023
Consultation on proposed changes to member contributions opens
The Scottish Public Pensions Agency has opened a twelve-week consultation on proposed changes to member contribution rates in the NHS Pension Scheme (Scotland), running from 23 May to 15 August 2023.
DWP reveals £670m of state pension underpaid in 2022-23
The Department for Work and Pensions underpaid £670m of state pension in 2022-23, the highest underpayment rate on record, with official error the main cause.