Pensions Bill: State Pension Reforms And More

The Pensions Bill 2013 has been published. It does not contain any surprises but confirms matters previously announced including:

• the abolition of contracting-out from April 2016;
• a framework for the automatic transfer of small pension pots;
• a new statutory objective for the Pensions Regulator to consider the long-term affordability of deficit repair contributions to sponsoring employers of pension schemes;
• the abolition of short service refunds from occupational MP schemes (from 2014);
• technical changes to the automatic enrolment regime;
• a regulation-making power to limit charges in automatic enrolment schemes;
• the introduction of the single-tier state pension from April 2016; and
• the acceleration of increases in state pension age and a mechanism for calculating future increases.

The full text of the Pensions Bill.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.