Employee pension 2018 news

Here are some key news stories related to employee pensions in 2018:

  1. Pension Freedom Changes: In April 2018, the UK government introduced changes to the pension freedom rules, allowing individuals to take 25% of their pension pot tax-free and the remaining 75% as a taxable income.
  2. Auto-Enrolment Review: The UK government announced a review of the auto-enrolment pension scheme, which requires employers to automatically enroll eligible employees into a workplace pension scheme. The review aimed to ensure the scheme remains effective and efficient.
  3. Pension Scams: The UK's Financial Conduct Authority (FCA) warned of a surge in pension scams, with over 4,000 reported cases in 2018. The FCA urged individuals to be cautious when considering transferring their pension pots to new schemes.
  4. State Pension Age Increase: The UK government announced plans to increase the state pension age for women from 62 to 65 by 2020, and to 66 by 2026. This change aimed to ensure the sustainability of the state pension system.
  5. Pension Scheme Funding: The UK's Pensions Regulator reported that pension scheme funding levels had improved in 2018, with 85% of schemes now fully funded. However, some schemes still faced challenges due to low interest rates and investment returns.
  6. Defined Benefit Pensions: The UK's Pensions and Lifetime Savings Association (PLSA) reported that the number of defined benefit pension schemes had decreased by 10% in 2018, due to the increasing cost of funding and the impact of Brexit on investment returns.
  7. Pension Tax Relief: The UK government announced plans to reduce pension tax relief for higher earners, with the aim of raising £1.3 billion in additional revenue.
  8. Pension Scheme Mergers: Several large pension schemes merged in 2018, including the merger of the BT and Royal Mail pension schemes, which created one of the largest pension schemes in the UK.
  9. Pension Scheme Governance: The UK's Pensions Regulator emphasized the importance of good governance in pension schemes, highlighting the need for schemes to have effective decision-making processes and to engage with members.
  10. Pension Scheme Cybersecurity: The UK's Pensions Regulator warned pension schemes to be vigilant against cyber threats, following a series of high-profile cyber attacks on pension schemes and other financial institutions.

These news stories highlight some of the key developments and challenges in the employee pension landscape in 2018.