As the Association of British Insurers (ABI) prepares to submit an industry alternative to the National Pension Savings Scheme (NPSS) to the government by the end of next week, it seems not everyone supports the project wholeheartedly.
The basic principle of the NPSS is the creation of a national pension scheme run by the government which sees everybody automatically enrolled unless they choose to opt out. Each person who chooses to stay in will contribute 4% of their earnings, 1% will be contributed through tax relief and 3% will come from employers contributions. An industry model has been developed by the ABI after the government threw down a challenge to the industry - issued by Stephen Timms MP when concerns were voiced about the low cost of charges, the lack of experience in the government running a scheme and th...
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