NPSS needs advice or employer contributions

In it’s third and final report into the state of UK pensions, the Commission admits lower rates of return for individuals, and the possibility in “extreme cases of negative real returns, would make it dangerous to proceed with an automatic enrolment system without individual advice”. But it adds including this necessary advice would increase costs and “further depress rates of return and pension incomes achieved, negating some of the gains form introducing the NPSS”. As a result of this refusal to allow advice, Alexander Forbes Financial Services claims the model is dangerously flawed, ...