Building an environment of trust in pensions
Trust in the pensions and lifetime savings system is vital if it is to achieve the socially desirable objective of providing an adequate income in retirement to all. If savers don’t trust the system, the system fails.
Yet in a survey the Pensions and Lifetime Savings Association ran in 2018,1 we found just over a third (36%) of non-retired respondents with a pension told us they trusted the system. That fell to little over one fifth (21%) among baby boomers.
In this paper, PLSA Chairman Richard Butcher reflects on the causes of loss of trust in the pensions industry, and sets out a route map to help restore trust.
1 Omnibus survey carried out as part of the PLSA’s Hitting the Target project. The research was conducted from 12 October to 16 October 2018 by Opinium.