The restrictions placed on NEST are to be lifted in 2017, meaning transfers in and the £4,500 contribution cap will be removed. Jenna Towler finds out if the changes make the scheme a more attractive option.
The National Employment Savings Trust (NEST) was set up by the government to underpin its automatic enrolment policy and is the only mass-market scheme to have a ‘public service' obligation. This means it cannot turn business away, no matter how small the number of potential members. It is also a not-for-profit organisation. NEST was established to focus on a target market for smaller employers and low to moderate earners - who, the government said, had been ill-served by the private sector pensions market. With the target market in mind, legislation placed two constraints on the p...
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