Companies plan major overhaul of employee pension provisions

New research from LawDeb Pensions reveals a significant shift in the UK’s defined contribution (DC) pension schemes, with 80% of businesses planning to change their provision type. The study indicates a trend towards consolidation and specialised management, with 63% of firms expecting to transition to a master trust or own trust. Key drivers for this change include the pursuit of better value for money, with 50% of firms citing this as their main motivation, alongside the need for robust governance and evolving regulatory pressures. The upcoming Pensions Schemes Bill is expected to further impact the DC market, necessitating careful consideration from businesses.