Universal auto-enrolment scheme charging structure could 'cost millions'

TPP warned members could lose out on £27,000 in a move to a universal structure

Holly Roach
clock • 1 min read

A mandatory single charging structure could cost membership millions, according to The People’s Pension (TPP) provider B&CE.

The not-for-profit scheme criticised the government's anticipated proposals to ban auto-enrolment (AE) providers from using combination charging structures and force them to introduce a single, flat annual management charging structure. TPP currently uses a combination charging structure and warned if the government makes the move to a single charging structure, the average saver could lose out on almost £27,000. Its charging structure consists of an annual charge, a management charge, and a rebate on the management charge. It said based on the current combination charging structur...

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