NEST Reviews Holdup on Pension Plans
NEST Reviews Holdup on Pension Plans

After launching a three-month appraisal to establish how it should work in practice, the coalition Government has rejected to rule out more delays to the proposed national workplace pension plan.

Under current schemes, the National Employment Savings Trust needs all employers to either register their employees in a Company pension or give a minimum 3% contribution into the NEST pot.

However, introduction of plan will be phased in and complete auto-enrolment is not planned to be fully up and running until 2017.

It has been claimed by some experts that it will include between 20-40% to the existing payroll costs. However, Pensions Minister, Steve Webb and Pensions Secretary, Iain Duncan-Smith have now enrolled three pensions’ aficionados to evaluate the plan and report back by the end of September.

The expert group includes, David Yeandle, Head of employment policy at manufacturers’ association the EEF, Paul Johnson, an economist with the Institute of Fiscal Studies and Adrian Boulding, pension’s strategy Director at Legal & General.

The consumer group has expressed its disapproval of lacking either union or consumer representation on the panel. While, Webb said, “In the previous government’s signing of the contract for the administration of Nest, there was a break built in available to us in the autumn”.

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