WOMEN’S ATTITUDES AND EXPECTATIONS TOWARDS PENSION SAVING FOR RETIREMENT IN THE UK

AbstractThe UK has seen a significant transition from Defined Benefit (“DB”) to Defined Contribution (“DC”) for occupational pension saving. The planned automatic enrolment program starting in 2012 is expected to increase the use of DC. The main features of DC are that investment risk falls onto the individual during the pre-retirement phase and that there are no guarantees as to investment returns or the level of pension. In July 2012, Steve Webb, the Pensions Minister, challenged industry to think hard about meeting the need for more certainty about pension savings in DC plans and to consider providing an affordable ‘Money Safe’ guarantee where the member would get back at least the nominal value of their contributions (individual, employer and tax relief). This paper explores whether this is viable for the mass market.

Download Full-text

What happens when employers are obliged to nudge? Automatic enrolment and pension saving in the UK

10.1920/wp.ifs.2016.1619 ◽

2016 ◽

Cited By ~ 5

Author(s):

Carl Emmerson ◽

Jonathan Cribb

Keyword(s):

Pension Saving ◽

The Uk

Download Full-text

What happens to workplace pension saving when employers are obliged to enrol employees automatically?

International Tax and Public Finance ◽

10.1007/s10797-019-09565-6 ◽

2019 ◽

Vol 27 (3) ◽

pp. 664-693 ◽

Cited By ~ 1

Author(s):

Jonathan Cribb ◽

Carl Emmerson

Keyword(s):

Private Sector ◽

Pension Scheme ◽

Pension Saving ◽

Employer Contribution ◽

The Uk ◽

Roll Out ◽

Do So

Abstract We examine the effect of obliging employers to enrol employees automatically into a workplace pension scheme. We exploit the phased roll-out of automatic enrolment, by employer size, in the first country to do so nationwide (the UK), to estimate its effect on pension saving among private sector employees. We find substantial increases in pension participation and a rise in pension saving. Surprisingly, many newly enrolled employees received an employer contribution substantially above the (very low) minimum default level. Automatic enrolment also caused the pension participation of those employees who were not obliged to be automatically enrolled to more than double.

Download Full-text

Pensions planning in the UK: A gendered challenge

Critical Social Policy ◽

10.1177/0261018317726639 ◽

2017 ◽

Vol 38 (2) ◽

pp. 345-366 ◽

Cited By ~ 5

Author(s):

Liam Foster ◽

Martin Heneghan

Keyword(s):

Gender Differences ◽

Decision Making ◽

Family History ◽

Focus Group ◽

Role Models ◽

Structured Interviews ◽

Pension Saving ◽

The Difference ◽

The Uk ◽

Policy Mechanisms

Gender differences in the accumulation of pension savings are well documented. Work in this field has concluded that while differing lifetime work profiles (and family history) explained much of the difference, other factors such as pension knowledge and confidence in decision-making, may also be significant. This research, commissioned by the Fawcett Society and funded by Scottish Widows, explores some of these factors through the use of 30 semi-structured interviews and a focus group with women (aged 24–39) about their attitudes and motivations towards pension saving. It concentrates on discussions around pension knowledge, advice and decision-making, and identifies challenges in relation to women’s pension knowledge and the use of male ‘role models’ in making decisions. The article then explores potential policy mechanisms to enhance women’s pension saving for retirement, including the manner in which information and advice is provided and strategies to improve confidence in pension decision-making.

Download Full-text

Workplace Pension Reform: Lessons from Pension Reform in Australia and New Zealand

Social Policy and Society ◽

10.1017/s1474746412000474 ◽

2012 ◽

Vol 12 (1) ◽

pp. 123-134 ◽

Cited By ~ 7

Author(s):

Sharon Collard

Keyword(s):

New Zealand ◽

Pension Reform ◽

Pension Scheme ◽

Pension Reforms ◽

Pension Schemes ◽

Pension Saving ◽

The Uk ◽

First Time ◽

The Way

The UK Government's workplace pension reforms introduce major changes to the way in which employees save for retirement. Eligible employees will be automatically enrolled into a workplace-based pension scheme and, for the first time in the UK, employers will be legally required to contribute to employees’ pensions. This article critically examines the evidence from New Zealand and Australia, two countries that have undergone pension reforms similar in some ways to the UK reforms. We assess what we can learn from their experiences in two areas: firstly, how pension schemes are structured and, secondly, the outcomes for individuals. The evidence highlights the potential of automatic enrolment to overcome people's disinterest in pension saving. At the same time, relatively few UK employees are likely to choose where their pension savings are invested. As a result, default funds will play an important role in determining the pension outcomes for individuals.

Download Full-text