29% of members surveyed considered climate change the top priority over the next year, while 21% also considered it a top priority over the next three-to-five years, and one in four (25%) members considered broader development and embedding of environmental, social and governance (ESG) factors to be most important in the longer term.
Likewise, 29% of respondents wanted the government to focus on and successfully deliver the pensions dashboard project over the next 12 months. Three in five (61%) respondents believed the dashboard would be policymakers’ priority over the next three-to-five years.
The survey, conducted in December 2021, asked SPP members where they wanted government and regulators to focus attention over the next 12 months, and the next three-to-five years. Members were also asked where they expected government and regulators to actually focus attention over those same periods. 40% of the SPP corporate membership responded, representing approximately 7,000 professionals working in pensions.
Other key findings from the survey include:
• Auto-enrolment: one in five members (21%) highlighted the implementation of the auto-enrolment review’s recommendations as being their highest priority over the next 12 months, while qualitative feedback highlighted the need for no government delay on the removal of the lower earnings limit and reduction of the lower age limit.
• Improving DC member outcomes: on a more long-term basis, two in five (43%) SPP members put improving DC outcomes in retirement as the top priority for the government and policymakers over the next three-to-five years; covering a myriad of areas from innovation in retirement products to collective money purchase and to advice and guidance at retirement.
• Pensions tax reform: Approximately one third of SPP members (32%) want to see action over the next three-to-five years on amending the current tax system to support long-term saving. Only 11% believed government and policymakers would actually address pension tax reform, while qualitative responses highlight a lack of confidence in any reform to increase save confidence beyond ‘tinkering’.
James Riley, President of the Society of Pension Professionals (SPP) said: “Climate change not only poses a grave threat to the planet, it also threatens the financial returns for pension funds. And at an industry level, it is clear from our survey that the roll out of the pensions dashboard is equally as important to pension professionals as addressing the climate crisis over the next year.
“Meanwhile a host of other industry-defining issues, from auto-enrolment to pensions tax reform, remain high on the industry’s to-do list. The SPP remains committed to ensuring action on these priorities is delivered in the short and medium term in the interest of savers and investors.”
SPP Survey Report
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