{"id":11488,"date":"2013-04-27T13:01:51","date_gmt":"2013-04-27T06:01:51","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/the-pensions-system-has-failed-what-is-the-answer\/"},"modified":"2016-04-27T14:39:14","modified_gmt":"2016-04-27T07:39:14","slug":"the-pensions-system-has-failed-what-is-the-answer","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/the-pensions-system-has-failed-what-is-the-answer\/","title":{"rendered":"The pensions system has failed \u2013 what is the answer?"},"content":{"rendered":"


\nPoor investment returns and dreadful annuity rates mean the outlook for defined contribution pension schemes is appallingTwo figures stunned me this week. The first was on Tuesday morning from the Office of National Statistics, which said that to buy an inflation-linked retirement income of \u00a325,000 a year \u2013 less than the UK’s average salary \u2013 you would need to build up a pension fund of \u00a3763,900 at age 65. Sadly, the median amount of money held in a pension fund is just \u00a353,000, only enough to buy an income of \u00a32,700 a year at 65. The pensions outlook for millions of people saving in “defined contribution” (DC) schemes today is, quite frankly, appalling.Later in the same day, I was talking to a semi-retired police sergeant. He was 49 years old and had joined the Metropolitan Police at 18. He did not realise then that in the Willy Wonka world of British pensions, he was holding a golden ticket. At 48 years old, after 30 years’ service, his pension has come in at two-thirds of his \u00a340,000-plus final salary, with inflation-proofing on top. So he is already on more than \u00a325,000 a year for rest of his life, uprated in line with inflation, without having to do another day’s work. Continue reading…
\n
\nSource : theguardian.com
\nRead more…The pensions system has failed \u2013 what is the answer?<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Poor investment returns and dreadful annuity rates mean the outlook for defined contribution pension schemes...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-11488","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-2Zi","jetpack-related-posts":[{"id":71555,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/nationwide-shows-pensions-future-neednt-be-a-grim-one\/","url_meta":{"origin":11488,"position":0},"title":"Nationwide shows pensions\u2019 future needn\u2019t be a grim one |","date":"November 11, 2017","format":false,"excerpt":"\r The building society launched a campaign that has boosted contributions and made staff more engaged with its pension schemeBritish pensions, as we reported recently, are among the grimmest in the developed world. The golden generation that retired with guaranteed final salary-style schemes is being replaced with a generation pauperised\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":27439,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/bmw-to-shut-final-salary-pensions-of-5000-staff-in-britain\/","url_meta":{"origin":11488,"position":1},"title":"BMW to shut final-salary pensions of 5,000 staff in Britain","date":"September 27, 2016","format":false,"excerpt":"\r Unite union vows to fight \u2018tooth and claw\u2019 car maker\u2019s switch to defined-contribution scheme after it posted record profits German car giant BMW has revealed plans to shut its two final-salary pension schemes for 5,000 staff in Britain \u2013 prompting the country\u2019s biggest trade union, Unite, to say it\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5328,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/widows-and-widowers-pensions-could-be-axed-under-new-proposals\/","url_meta":{"origin":11488,"position":2},"title":"Widows and widowers' pensions could be axed under new proposals","date":"November 10, 2013","format":false,"excerpt":"\r Pension for surviving spouse and inflation linking threatened under plan to make final salary schemes affordableWidows and widowers could lose their entitlement to payouts from their spouse's workplace pension under proposals outlined by the government to make final salary schemes more affordable for employers.Firms have been closing final salary\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":32349,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/size-of-deficit-in-defined-benefit-pension-schemes-drops-sharply-in-october\/","url_meta":{"origin":11488,"position":3},"title":"Size of deficit in defined benefit pension schemes drops sharply in October","date":"October 31, 2016","format":false,"excerpt":"\r Total deficit in UK\u2019s 6,000 defined benefit funds improves by \u00a360bn to \u00a3630bn, according to accountancy firm PwCThe size of the deficit in defined benefit pension schemes dropped sharply in October, according to a report on Monday.The total deficit in the UK\u2019s 6,000 defined benefit funds improved by \u00a360bn\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":78083,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/carillion-greed-hits-other-companies-pensions-letters\/","url_meta":{"origin":11488,"position":4},"title":"Carillion greed hits other companies\u2019 pensions | Letters","date":"January 26, 2018","format":false,"excerpt":"\r The Pension Protection Fund receives its money by levies on other pension funds, writes Peter BrownThe collapse of Carillion and the payout of \u00a3900m from the Pension Protection Fund will not be a \u201chit to the public purse\u201d (Report, 25\u00a0January). The PPF receives its money by levies on other\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":22775,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/the-scandalous-changes-to-company-pension-schemes\/","url_meta":{"origin":11488,"position":5},"title":"The scandalous changes to company pension schemes","date":"August 13, 2016","format":false,"excerpt":"\r Every time an employer closes a final salary scheme and moves workers to a \u2018defined contribution\u2019 one, it shifts all the risk onto themA man in his 40s receives a pension projection that tells him his retirement income is going to collapse from the \u00a338,000 he was expecting to\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/11488"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=11488"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/11488\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=11488"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=11488"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=11488"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}