Around 15 pension providers and schemes representing approximately 41.5mn savers and customers have committed to support a campaign to encourage engagement with pensions.
The Association of British Insurers (ABI) and the Pensions and Lifetime Savings Association (PLSA) have coordinated an industry campaign to boost people’s understanding and engagement with their pensions.
The campaign, which will help over 30mn pension savers, is set to run in autumn and winter this year.
The two organisations said they want to help people understand the basics of pensions and as it evolves, savers will be able to see the campaign in different places, such as on social media and in a variety of digital and written communications from their pension schemes.
The campaign will share tips on how individuals can identify who their pension providers are, make sure contact details are up-to-date and check how much has been saved towards retirement. It will also help people prepare for pensions dashboards which will show savers all their pension pots in one place.
Yvonne Braun, director of long-term savings policy at the Association of British Insurers, said: “We know that seven out of ten people find pensions overly complex and difficult to understand. This needs to change, fast.
“Uniting pension providers and schemes around an engagement season focused on pension basics could have a real impact on people’s understanding of the importance of their pension and prepare the ground for pensions dashboards. It will also complement the government’s drive to increase engagement which we wholeheartedly support.”
With the help of the pension providers and schemes, it has a collective investment of at least £1mn for its organisation over the next three years, and a multiple of this amount in scheme and provider specific resources to further amplify the campaign.
The organisations said this is the first time that so many pension providers and schemes across the UK, including the very largest, have united behind the same call to action over the same period.
This action will reach savers who are in automatic enrolment schemes, defined benefit pensions, self-invested personal pensions, and those who have started withdrawing money from their pension and it will complement the work of the Department for Work and Pensions, the ABI and PLSA said.
Nigel Peaple, director of policy and advocacy, Pensions and Lifetime Savings Association, said: “We have seen from the level of engagement with our retirement living standards and the national conversation it started, that savers want simple, jargon-free information to help them get their pension savings working for them.
“By committing all corners of the pensions industry to pull together on a concentrated engagement campaign – and with the support of the Department for Work and Pensions – we have the potential to move the dial in helping savers understand their pension so that more people have a better income in retirement.”