Low take-up 'will lead to Personal Accounts failure'

The consultant said its survey - which interviewed HR directors, finance directors, and pension managers from over 300 companies - revealed personal accounts were likely to be a failure when they are introduced in 2012 as the take up rate would be far below the economy of scale needed to deliver the proposed low costs. It said such a scenario would make management fees for personal accounts as high as 1% - far more expensive than most current defined contribution pension schemes. The survey also revealed only 10% of employers have canvassed the opinions of their staff to understand whet...