Employee Rewards and Benefits News

Personal Accounts Scheme is 'encouraging'

The recent launch of the Personal Accounts Scheme under the National Employment Savings Trust (NEST) moniker has been welcomed by a leading organisation for pensions in the UK.

Joanne Segars, the chief executive of the National Association of Pensions Funds (NAPF), said that everyone in the UK needs a pensions nest egg in order to enjoy a comfortable retirement later in life.

She explained that already, nearly 12 million people are saving into a workplace pension with contributions from their employer.

"Today's announcement brings us a step closer to the 2012 reforms when nearly all working people, especially those on low and moderate incomes, will be given this opportunity," she concluded.

The Trades Union Congress backed this opinion, asserting that it will give millions more the extra hope when saving for their later years and provides a low-cost option that is desperately needed.

Age Concern stated that NEST will also help solve the issue of people accumulating different pension pots from a variety of employers.

Posted by Matt Gardner

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January 11th 2010
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