Responding to the government's call for evidence today on quality standards in defined contribution (DC) pension schemes, TUC General Secretary Frances O'Grady said: 'We welcome this call for evidence. The law rightly requires auto-enrolment into a workplace pension, but in return every saver must be guaranteed that they are in the best possible scheme. 'This assurance is even more important if the government persists with a pot-follows-member approach to consolidating small pots. Quality schemes need to have low charges, sensible default funds and governance that acts exclusively in the interests of members. 'We also welcome the promise to consider the wider structure of the DC pensions marketplace once the Office of Fair Trading has reported. This could provide the opportunity for a major shake up to drive scale and good governance. Improving the quality of existing schemes is important but only one step towards a private pensions system that is better designed around members' interests.' |
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