Pensions  

DWP reveals work on mid-life MOTs

DWP reveals work on mid-life MOTs

The Department for Work & Pensions (DWP) has been working with Local Enterprise Partnerships and the National Careers Service to deliver mid-life reviews to help older workers plan their finances for retirement.

In response to The Women and Equalities Committee's Fourth Report of Session 2017 to 2019, titled Older People and Employment, the government stated mid-career reviews would encourage people to think beyond retirement. 

The response stated: "Mid-life career reviews can act as an effective tool in financial and career planning, both of which are important to preventing people falling out of the workforce, or finding themselves trapped in unfulfilling employment.

"Giving access to impartial careers information and guidance at mid-life enables individuals to take stock of their situation, think about their options for later life, whether that is retraining, changing careers, or reducing their hours rather than feeling the only option is retirement."

The initiative, which concluded in September, will feed into the government's policy development on the the mid-life MOT recommended in John Cridland's review of state pension age.  

The government said it was currently exploring the level of demand and potential delivery options.

The DWP added a final decision on whether to further roll-out a mid-life MOT will require further discussion with other departments in government.

"As policy is developed Government would welcome the thoughts of the committee, happy to share progress and seek their input on progress and overall direction of travel, including the scope to align with a mentoring scheme," the response stated.

Last week Aviva announced it would be rolling out its mid-life MOT service to its employees aged 45 or over in 2019.

Aviva's service will encourage consumers to review their wealth, work and wellbeing while supporting them through a longer working life.

Meanwhile Legal & General (L&G), The Pension Advisory Service (TPR) and Mercer have launched their own mid-life MOT pilots.

A report from the Centre for Ageing Better called for an introduction of a live mid-life MOT after it found high demand for the service among participants from each of the pilots.

rosie.quigley@ft.com