Welcome to the spring edition of member trustee news. The new year has brought no let up in the pace of change, with another Pensions Bill on its way through parliament, and 2012 - the start of auto-enrolment - coming ever closer. The impact of auto-enrolment, with millions of members being brought into pension schemes for the first time, is likely to mean a shift of emphasis in the pensions world firmly into DC. Communicating with DC members about their pension choices will become a key issue, and the National Employment Savings Trust (NEST) has set an interesting example with its new phrasebook, available on the NEST website. Some have derided it as patronising and unnecessary but others have suggested that the terms used by NEST, e.g. 'taking your retirement pot as cash' rather than 'trivial commutation', should become the norm in member communications. I would be interested in your views on the NEST approach.
The Budget contained few surprises for pensions, with arrangements for the new annual allowance largely as expected. The most interesting proposal, however, is the likely shake-up of the state system including, potentially, the ending of contracting out for defined benefit schemes. Whilst some have regarded this as (yet another) nail in the DB coffin, other commentators have been more measured, pointing out that since it would mean the government providing a greater proportion of members' DB pension, it would in effect be a de-risking measure for schemes.
And finally, a date for your diary: this year's trustee network conference will be on 15 November. Pensions Minister Steve Webb has been invited and Dr Paul Woolley from the LSE will give a keynote speech. Do let us have any ideas for speakers or issues you would like to be included in a workshop session.
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