New report shows pension saving continues to fall

A new report by the Office for National Statistics (ONS) has shown that the number of people working for private sector companies who are saving into company pension schemes has halved since 1991. In 1991 6.3 million people working in the private sector were active members of their employer’s pension scheme; by 2009 the number had fallen by around 50% to 3.2 million. The figures have been taken from the 2009 Occupational Pension Schemes Survey and would have been worse if it were not for the Post Office and BBC schemes being reclassified and moved into those counting towards the private sector. The ...

Workers warned over final salary pension deals

Concern is mounting that thousands of employees are being ‘bribed’ to give up valuable benefits in final salary schemes for less generous cash payments. A report from accountants KPMG has shown that more than 90,000 people have been offered cash incentives to transfer out of final salary pension schemes. The figures also show that around 25% of people have accepted the cash offer, which could potentially leave them worse off than if they had retained their membership of the final salary scheme. Final salary pensions Final salary pensions are widely regarded as the most attractive form of pension as not only do they provide ...