30 Million Workers Risk Retirement Shortfall

About 30 million people of working age are at risk of running out of money in retirement because they are unsure about how much they should be saving into their pension, according to new research. Click here to learn more

Advertisements

Carillion’s Demise Shines a Light on UK Pensions Shortfall

CarillionDebt laden construction firm Carillion has fallen into liquidation after it failed to reach an agreement with creditors during crisis talks over the weekend.

In addition to debts approaching GBP1 billion, the company has an enormous pension deficit. What does that mean for members of its staff pension schemes?

Learn more

Three Million Savers With ‘Final Salary’ Pensions Have 50% Chance of Losing up to a Fifth of Their Income

New pension scheme rules challengedThree million workers with final salary pensions have a 50 per cent chance of losing up to fifth of their income because their employers have made unaffordable promises, a recent report has warned. Could you be one of them?
Learn more

Treasury Banked £1.6bn in Tax From Pensions. Could You Be Paying Too Much Tax on Your Pension Withdrawals?

hmrc.jpgA quirk in the income tax system means HMRC is wrongly overcharging people who make use of new rules to draw cash from pensions.

Recent figures show the Treasury banked £1.6bn in tax from the first year of the pension freedoms (April 2015-16), nearly double its initial estimate of £910m. The discrepancy could be explained by a low ratio of people reclaiming overpaid tax, compared to those who have made withdrawals, experts suggest. Learn more

Firm Targeting Nest Eggs of UK Expats Faces SEC Probe

Securities and Exchange Commission; SECBloomberg reports that an international financial advisory company has charged upfront commissions for years on investments to UK expats, even though its SEC registration didn’t allow such commissions.

There were a lot of charges. In addition to an annual management fee, the company would charge a fee on the pension transfer that could be as high as 7%, spread over several years (known in the industry as an ‘indemnity commission’), three former employees said. Clients who transferred pensions would have to decide how to invest the money, giving salesmen another chance to earn commissions.

Learn more

UK Pension Transfers Hit With 25% Tax Charge

QROPS Tax Charge

British expats living abroad and foreign nationals based in the UK face being stung by a new 25 per cent tax charge if they move their pensions out of the UK.

New rules, which came into effect on 9 March, 2017 after being announced in the 2017 UK Spring Budget, will see the charge levied when retirement funds are transferred outside the UK, unless they meet strict criteria.

Learn more

FTSE 100 Pension Costs to Double Without ‘Drastic Action’, Retail Sector Pension Black Hole Widens by £6bn to Match Annual Profit

royal-dutch-shell-pension-deficitThe UK’s 100 largest listed companies face seeing their defined benefit pension costs double over the next three years unless “drastic action” is taken, according to JLT Employee Benefits.

In March this year, JLT put the combined FTSE 100 deficit at £87bn. It said only 29 companies disclosed a pension surplus in their most recent annual reports, while 59 companies disclosed pension deficits.

Royal Dutch Shell had the biggest pension liability, at £57bn, while 15 other companies had liabilities of more than £10bn.

Learn more