How can Collective Defined Contribution Pensions schemes be implemented effectively?
The RSA’s Tomorrow’s Investor programme has campaigned for over ten years on the benefits to savers that CDC pensions could bring to the UK economy.
Following changes in the 2015 Pensions Act inspired by that campaign, the Royal Mail and The Communication Workers Union (CWU) have agreed to implement the first Collective Defined Contribution (CDC) pension scheme in the UK.
With this milestone, more evidence is now needed on how best to implement and regulate CDC schemes.
The RSA convened a forum of stakeholders from industry, regulators and the civil service to hear the views of the Minister for Pensions Guy Opperman MP on implementation issues.
This briefing paper is informed by that discussion, covering key implementation challenges and highlighting the need for policymakers, savers, and the industry to work together on a effective regulatory framework.