Standard Life has extended its trust-based pension to offer a defined contribution (DC) master trust arrangement for employers unable to appoint their own trustees.
The insurer said its new proposition, a bundled DC master trust, is suitable for employers who are either setting up a new DC scheme, consolidating existing unbundled DC scheme, or switching from an own trust DC arrangement.
The new multi-employer scheme allows employers to choose the investment funds available to members and will be available in 2012 when auto-enrolment begins.
"We have seen an increasing demand for a master trust solution," said Jamie Jenkins, head of corporate strategy and propositions at Standard Life.
"Many employers are still keen on the benefits associated with having trustees in place, but want to avoid the responsibility, cost and complexity of appointing them."
Pitmans Trustees will be the trustees of the scheme. Richard Butcher, managing director of Pitmans Trustees said: "With the arrival of NEST, the future of pension provision in the UK is DC.
"The master trust concept will make this journey easier for employers and members. It will help to deliver good member outcomes."
The development comes after Standard Life launched its trust-based pension in 2010 in anticipation of the auto-enrolment reforms.
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