With the government consultation on pensions dashboard closing on 28 January, Quantum Advisory, the leading pensions, benefits and actuarial firm, has encouraged the industry to consider launching a simplified first stage platform, loaded with provider and contact details only, in order to start combatting the lost pot issue now.
Robin Dargie, Senior Consultant at Quantum Advisory said: “Some industry commentators are understandably sceptical as to whether a perfect dashboard can be achieved by the 2023 deadline. It may not be the case, but what we can do is make it workable and efficient even in the short term. We cannot afford to wait for perfection, it’s about doing what’s manageable now – especially with recent research carried out on behalf of ABI claiming there to be an estimated 1.6 million unclaimed pots in the market amounting up to £20 billion. Dashboard has the power to reunite an endless number of members with forgotten pension pots, in turn having a measurable impact on their final retirement income.
“Getting data up to scratch will be a hurdle for many schemes. However, a first phase of dashboard, containing scheme and contact details only, would allow users to see the pots they have and where, giving a means of contacting providers to obtain up to date and accurate information on the values. This is, of course, similar to the government’s approach for the State Pension. This basic version may not be the all-singing, all-dancing platform we had first envisaged, but would reduce the risk of mistrust among members who might otherwise receive inconsistent or inaccurate information, whilst allowing the industry greater opportunity to develop a dashboard that maximises its full potential.
Robin Dargie, Senior Consultant