The United Kingdom’s biggest pension providers have pledged to provide people in workplace schemes with full details of the costs they are paying.
Under an agreement set out yesterday by the Association of British Insurers, consumers will from 2014 benefit from more transparent and simple disclosure of the charges they are paying for their workplace pension.
Providers promise to disclose the total charges at the start of a pension contract, the total charges taken each year – in pounds – and the annual investment transaction costs.
The agreement covers 14 of the UK’s biggest insurers, including Standard Life, Aegon, Prudential and Aviva.
It comes after months of political and consumer pressure on the pensions industry to come clean on the true costs that workers are paying for their pensions.
