Recent speculation suggests that the Secretary of State for Work and Pensions, Ester McVey, is looking to scrap the hugely anticipated pensions dashboard, set to launch next year. The proposal, applauded by the pensions industry, has been plagued by delays with the recent feasibility studies taking longer than anticipated, and now it seems, may not go ahead at all.
Stuart Price, Partner and Actuary at Quantum Advisory, says: “McVey doesn’t think the government should foot the bill for the pensions dashboard, despite it being very much in the nation’s best interest to launch such a facility. She has also noted that it may distract from the implementation of universal credit.
“I, along with three quarters of the UK pension’s industry, are in favour of the dashboard and I personally think it will be a travesty if it is pulled.
“This is such an important step to engage with the population and encourage them to realistically save for their retirement. With the average number of jobs a person will have in their working life now standing at 11 in the UK, it is crucial individuals can easily keep track of all their pensions. The dashboard will help to combine all private pension arrangements – along with the state pension – to provide individuals with a better understanding of their likely finances in retirement, based on their current situation.
“McVey’s argument that the system should not be state funded is flawed. It is the government’s responsibility to get more people saving for their retirement and this will go a long way towards this, thus reducing reliance on the State for many in their old age. Only time will tell, but I sincerely hope this is just speculation.”