CDC support grows; one fifth of businesses considering use

Spurred by Royal Mail CDC scheme

Holly Roach
clock • 2 min read

Support for collective defined contribution (CDC) schemes is growing with more than a fifth of businesses now considering using it for their own employees, according to the Association of Consulting Actuaries (ACA).

The firm's 2021 Pension Trends Survey revealed more than half (58%) of survey respondents support extending CDC beyond the Royal Mail scheme, to allow industry-wide and multi-employer while 21% of businesses are interested in CDC for their employees. It also found 54% support its extension to allow industry-wide and multi-employer CDC schemes, this is up eight percentage points compared to the firm's survey last year. The report also found 25% would consider a CDC master trust for both accumulation and decumulation. The ACA's research found contributions into ‘traditional' defined ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Crucial advice issue: Death benefits detail advisers need to know

Crucial advice issue: Death benefits detail advisers need to know

Important differences from previous regime

Andrew Tully
clock 05 April 2024 • 4 min read
British Steel a stark reminder of obligations around client files

British Steel a stark reminder of obligations around client files

Lawyer Philippa Hann reflects on her work around the pensions case

Hope Coumbe
clock 27 March 2024 • 2 min read
SSAS and the general levy: A victory for common sense

SSAS and the general levy: A victory for common sense

The value of SSASs after general levy consultation outcome

Caitlin Southall
clock 26 March 2024 • 5 min read