UK Archives - Page 87 of 193 - Pension Policy International

24NovNovember 24, 2022

More than 70,000 UK university staff go on strike over pay and pensions

Up to 2.5 million students could face disruption as tens of thousands of university staff begin industrial action on Thursday in what has been billed as the biggest strike in the history of UK higher education. More than 70,000 staff, including lecturers, librarians and researchers, are due to take part in the first of three days of strike action over pay, working conditions and pensions, with pickets expected at 150 universities. Read also UK. MPs told ‘illegal’ LDIs fanned gilt crisis The...

November 24, 2022

NewsDefined Benefit, UK

24NovNovember 24, 2022

UK. Millennials risk losing nearly £6,600 by pausing pension contributions

People pausing their pension contributions in their 20s and 30s could stand to lose almost £6,600 by the time they reach retirement age, analysis from Money Minder has revealed. The research found that those in their 20s that paused pension payments for a year could have an additional £1,371, they risked losing up to £5,770 from their total pension fund when they reach state pension age, due to the accumulation of the investment returns contributing to the growth of the...

November 24, 2022

NewsMillennials, savings, UK

22NovNovember 22, 2022

Planned reforms to UK pensions will open access to PE

Defined contribution schemes in the UK may soon be allowed greater access to private markets following proposals from the Department for Work and Pensions. Under the consultation, published on 6 October, the UK government plans to remove performance fees from the charge cap applied to DC schemes – which are constrained by an annual 0.75 percent charge cap on assets under management and administration. This has acted as a barrier to accessing certain asset classes that charge a performance fee,...

November 22, 2022

NewsInvestment, Regulation, UK

21NovNovember 21, 2022

UK regulators call for action on hidden leverage threat to pension funds

Regulators and policymakers are calling for action to address the risks associated with pension funds’ use of derivatives, after key watchdogs admitted last week that they were unprepared for the crisis that hit the industry in September. The meltdown, now the focus of four separate parliamentary probes, revealed regulators did not have a reliable picture of the scale of hidden leverage in liability-driven investment (LDI) strategies, which cover about £1.4tn of the future promises made by UK defined benefit pension...

November 21, 2022

News2022, Investment, Pension Management, Regulation, Risk, UK

16NovNovember 16, 2022

68% of Brits back pension triple lock

‘Attacking’ it would be a ‘seriously high-risk and deeply unpopular move’ More than two-thirds of UK adults support an inflation-matching increase in the state pension next year, AJ Bell research has found. Of the 4,000 Brits asked if they backed increasing the state pension in line with wage growth, inflation, or not at all, the overwhelming majority (86%) felt the state pension should increase next year. Most (68%) said they backed an inflation-linked increase, while a further 18% said it should be...

November 16, 2022

NewsIncome, State Pensions, UK

15NovNovember 15, 2022

UK. Sunak gives strongest hint he will protect pensions triple lock

PM, also under pressure to raise benefits and public sector pay with inflation, claims ‘compassion’ will be at heart of autumn statement Rishi Sunak has given his strongest hint the government will protect the triple lock on pensions, saying pensioners “will always be at the forefront of my mind”. The rule, which applies to UK state pensions, means pensions must rise each year in line with the highest of three possible figures: inflation, average earnings, or 2.5%. Sunak is likely to face...

November 15, 2022

NewsState Pensions, UK

14NovNovember 14, 2022

UK. Pension savers face ‘double’ tax hit as inflation soars

The government’s decision to freeze the lifetime allowance could yield up to £2bn for the Treasury, double the £1bn it previously projected due to a surge in inflation this year. The lifetime allowance, the amount a pension holder can benefit from without having to pay extra tax, was frozen at £1,073,100 in the 2021 Budget by former chancellor and current prime minister, Rishi Sunak. But according to pension consultants LCP, the freeze did not take into account inflation proofing and over...

November 14, 2022

NewsIncome, UK

11NovNovember 11, 2022

UK. Ten years of Automatic Enrolment achieves over £114bn pension savings

In 2021, employees across the UK saved £114.6 billion into their pensions. This is a real terms increase of £32.9 billion compared to 2012, when Automatic Enrolment was introduced. The figures reveal how the policy has transformed pensions saving over the last ten years for people from Sterling to Southend, by normalising workplace pension saving, establishing a culture of retirement saving for a new generation, and helping foster a greater sense of security in later life. More than 10.7 million employees...

November 11, 2022

NewsBehavioral Economics, Pension design, UK

10NovNovember 10, 2022

UK. Insurers face claims threat from pension fund LDI crisis

The events of the past few weeks are likely to result in claims and/or pressure on commercial relationships, particularly when pension schemes conduct their triennial valuations and agree new deficit reduction plans with employers. UK pension scheme managers and their insurers could face claims over their use of liability-driven investment strategies following the turbulence caused by Liz Truss's mini-budget There may be a surge in professional negligence claims against liability-driven investing (LDI) pension funds in the wake of the UK’s mini-budget. Claims...

November 10, 2022

NewsInvestment, Pension Management, UK

09NovNovember 9, 2022

UK. How Pensions Threatened Financial Stability

Speech By Sarah Breeden, Bank Of England Executive Director, Financial Stability Strategy And Risk, Given At ISDA & AIMA On the afternoon of 28 September, I found myself in a rather unusual position: having to explain to journalists why a part of the pensions industry, unheard of to most of their readers, had posed such a large threat to financial stability that it warranted intervention in the gilt market from the Bank of England. Financial markets globally had been volatile for...

November 9, 2022

NewsInvestment, Pension Management, UK

November 2022