September 19, 2024
Moneybox, NatWest Cushon, and Smart Pension join pensions dashboard scheme #UKFinance

Moneybox, NatWest Cushon, and Smart Pension join pensions dashboard scheme #UKFinance

CashNews.co

Moneybox, NatWest Cushon, and Smart Pension have joined the industry coalition of potential operators for the forthcoming commercial pensions dashboards in the UK, bringing the number of members to 10.

These new members will collaborate with the government and regulatory bodies to ensure the successful launch of multiple dashboards designed to empower UK consumers with greater transparency and control over their retirement savings.

The Dashboard Operators Coalition (DOC) includes Aviva, Just Group, Legal & General, Mintago, Moneyhub, Scottish Widows (a part of Lloyds Banking Group), and Standard Life (part of Phoenix Group).

The pensions dashboard programme is being designed to create a system linking everyone up with all their disparate pension pots.

It is estimated that the average worker will accumulate 11 pension pots throughout their career, making it challenging to keep track of them all. Consequently, around £26.6bn is held in “lost” pensions across the UK, according to the Pensions Policy Institute (PPI) and the Association of British Insurers (ABI).

“Being able to see all your pensions in one place can save you a lot of hassle. It allows you to keep track of all those pensions you accumulated in previous roles that otherwise you may lose track of,” Helen Morrissey, Yahoo Finance UK pensions columnist and head of retirement analysis at Hargreaves Lansdown, wrote.

The privately provided commercial dashboards will be offered alongside an official dashboard from the state-backed Money and Pensions Service, which has been delayed. The most recent deadlines are for all occupational schemes to be connected to the pensions dashboard by 31 October 2026.

“However, it’s worth saying that this won’t necessarily be the date that the public will be able to use it,” Morrissey has warned.

Consumer body Which? has also advocated for the pensions dashboard, urging the government and pension providers to work together to make it a reality as quick as possible

Rocio Concha, Which? director of policy and advocacy, said: “The government and industry must now work together to introduce dashboards as soon as possible so savers can make more informed choices about their pensions.”

In Europe, eight countries have a functioning pensions dashboard, the oldest being Denmark, which introduced their version in 1999. However, the UK will be the first to employ a multi-dashboard system.

Rather than a centralised government dashboard like in other countries, it will be available to pension providers to create their own white-label dashboard or use third-party software to integrate into their banking and investment apps.

Moneybox is a financial platform that integrates saving, investing, home buying and retirement services. It has more than one million users.

Charlie Mortimer, co-founder and co-CEO of Moneybox, underscored the importance of reuniting savers with lost pension pots and making it easier for them to track their retirement savings. “We look forward to building a dashboard environment that significantly boosts savers’ confidence in their retirement planning,” Mortimer said.

NatWest Cushon, a workplace savings and pensions fintech within the NatWest Group, is committed to improving pension engagement among its 540,000 members.

Janine Menasakanian, managing director of new opportunities at NatWest Cushon, noted the upcoming challenge as pensions become a focal point for many consumers. “It’s essential that stakeholders are prepared to help people navigate this new landscape effectively,” she said.

Smart Pension, which has 1.4 million members, recently published its Delivery 2030 paper, which outlines a vision for transforming the UK pension system. The paper stresses the importance of dashboards in helping savers understand their total retirement savings.

Richard Smith, volunteer chair of the DOC and an independent dashboards consultant, said: “It’s exciting that more firms see the revolutionary potential of commercial dashboards. A diverse range of dashboards will allow consumers to view their pensions on familiar platforms they already trust.

“The DOC members are eager to work with the government and regulators to deliver these dashboards successfully.”

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