ABI and Nest enter into partnership

ABI and Nest enter into partnership

The Association of British Insurers (ABI) has entered into a partnership with the Government-backed workplace pension scheme National Employment Savings Trust (Nest).

The two organisations have already been working together on issues affecting the long-term savings industry, including the development of auto-enrolment and the pensions dashboard.

Recent research from the Pensions Policy Institute carried on in behalf of the ABI showed UK savers lost track of 1.6 million pension pots which could be worth £19.4bn in unclaimed savings.

Yvonne Braun (pictured), the ABI’s director of long-term savings, said the trade body and its members were "committed to a well-functioning long-term savings market in the UK which is critical given our ageing society".

She said: "Nest is playing an important part in this market and we share the desire to help millions of people enjoy a better retirement. I very much look forward to strengthening our sector’s ties with Nest."

Zoe Alexander, Nest’s director of strategy, said the scheme had worked closely with the ABI and their members for a number of years.

She added: "Now we are formalising our partnership in a way that will open up new opportunities for us. For instance, Nest employees will be able to access personal development opportunities and join the ABI’s talent and diversity network. This will support Nest as we continue to grow over the coming years."

Earlier this month, Nest, which has more than 7m members, launched a trial of its sidecar savings scheme, which will be rolled out to more than 5,600 employees of Timpson who will be monitored for two years to assess sign-up rates, how much they save and the impact on each individual's financial wellbeing.

In a sidecar schemes, two different pots are created – one for short term emergencies and a long-term pension savings plan.