October 2024
15Oct

UK. Govt launches National Wealth Fund to drive pension fund investment

The government has officially launched the National Wealth Fund and announced reforms to other public institutions to encourage additional pension fund investment into high-growth UK companies. The UK Infrastructure Bank is to be overhauled and rebranded as the National Wealth Fund. The announcement was made by chancellor Rachel Reeves at the government’s International Investment Summit in London yesterday (14 October). The fund is to receive £27.8bn and an expanded investment remit to support the government’s new industrial strategy, also announced yesterday. Its remit...

October 15, 2024
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15Oct

UK. PASA launches pensions dashboards toolkit

PASA today published the first content in its new ‘Dashboards Toolkit’. The Toolkit will be updated over time and the first releases include: A questionnaire for trustees to issue to their AVC providers in advance of connecting their scheme AVCs to dashboards A checklist and suggested list of activities for administrators to connect to and maintain AVC data A list of AVC providers and their connection methods Geraldine Brassett, Chair of the PASA Dashboards Scheme Configuration sub-group, commented: “PASA has...

October 15, 2024
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14Oct

Biggest US public pension fund Calpers invests in UK’s Octopus Energy

The largest public pension scheme in the US has invested in Octopus Energy, highlighting international interest in the fast-growing UK power company. Calpers, which oversees the pensions of public workers in California and has about $500bn of assets under management, invested in the private company this year as part of a push into climate-related assets, Calpers confirmed in response to a query from the Financial Times. It made its investment in May alongside Australian pension fund Aware Super. Together the two...

October 14, 2024
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11Oct

UK. Why even at 20 you should care about pension changes

There is growing speculation that the way pensions are taxed could be changed in the Budget. Chancellor Rachel Reeves says she needs to find £22bn and some experts say she could change the system on workplace or private pensions to find some of this money. This is separate from another debate about the state pension. There are a number of options which could affect workers getting their first job, those already working, all the way up to those in retirement. This...

October 11, 2024
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10Oct

UK. People have less than six months to make a vital pension change

People have less than six months left to fill gaps in their national insurance (NI) record from 2006 to maximise their state pension. More than 10,000 payments worth £12.5 million have already been made through a new digital service to boost people’s state pensions since it launched in April, HM Revenue & Customs (HMRC) has revealed. The service lets people check for gaps in their NI record, calculate if making a payment would increase their state pension, and then make...

October 10, 2024
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10Oct

Pension funds biggest investors in UK’s £10bn social impact investment market

Pension funds are the largest investors in the UK’s social impact investment market, according to the latest annual market sizing report from Better Society Capital (BSC). The report reveals that the sector grew to £10bn (€11.9bn) last year, marking a 7% increase compared to 2022. In 2023, investment by pension funds represented 21% of the country’s total social impact investment market, with most of their funds being directed towards social and affordable housing, according to BSC. Endowments and charities were the second biggest...

October 10, 2024
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09Oct

UK. DWP suggests clearer communication and tech to boost pension engagement

There is a need for clearer communication, improved information and greater use of technology to boost public engagement with private pensions in the UK, according to the Department for Work and Pensions (DWP). The report, titled “Lessons on Pensions Engagement”, explores how to encourage greater participation in private pension schemes. It finds that “Pension engagement is a key departmental and governmental priority, but evidence shows engagement is low.” The analysis defines engagement in three ways: cognitive, emotional, and behavioural. It highlights...

October 9, 2024
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08Oct

Regulators increase scrutiny on funded reinsurance amid pension de-risking surge

The growing use of innovative “funded” or “asset-intensive” reinsurance structures by life insurance companies has attracted regulatory attention, particularly in light of the expanding pension de-risking market. These transactions, which involve transferring corporate pension scheme liabilities to life insurers, have led to an increase in reinsurance activity where both investment and longevity risks are passed to reinsurers. In its latest report, Hogan Lovells notes that while regulators recognize the strategic role of reinsurance in managing risk and capital, the rising volume of...

October 8, 2024
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07Oct

UK. Royal Mail launches collective defined contribution pension plan

Royal Mail has launched a collective defined contribution (CDC) pension plan to provide its more than 100,000 employees with a cash lump sum and an income in retirement. Along with the Communications Workers Union (CWU) and Unite CMA, the employer designed and implemented a pension arrangement for its workforce that was affordable for itself and its employees. Every employee with at least one year of service is eligible to join, with the majority joining automatically. The plan pools members’ contributions and provides staff...

October 7, 2024
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07Oct

UK. Four New Firms Join the Pension Dashboard Operators Coalition to Reconnect People With Their Savings

The UK Pensions Dashboard Programme (PDP), a project aiming to create the infrastructure required to help over 16 million people plan for retirement and connect with lost pension pots all in one place, has been hit with delay after delay. In an effort to help launch commercial pensions dashboards for consumers more quickly, four new firms have joined the Pension Dashboard Operators Coalition, the industry coalition of potential operators of commercial pensions dashboards. Fidelity International, Mercer, Penny and Pension Lab become the latest firms to join the...

October 7, 2024
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