Longevity helps push pension costs up

first_imgLongevity helps push pension costs upOn 5 Jun 2001 in Personnel Today Comments are closed. Related posts:No related photos. Previous Article Next Article Nearly half the pension schemes in the UK have seen their costs grow at afaster rate than other business overheads, according to research by businesssupport company Capita Hartshead. The Eighth Annual Pension Scheme Administration Survey shows that 45 percent of schemes have seen pension administration and contribution costs grow inthe past five years as a result of steps taken to address lower surpluses, lowinflation, member longevity and changes to Advanced Corporation Tax. Mike Addenbrooke, business services director of Capita Hartshead, said,”While so many schemes complain bitterly at the extra costs being placedon them, more than a third who retain service administration in-house are stillneglecting to cost their own administration services.” The survey also shows that more than 40 per cent of schemes will be requiredto offer access to stakeholder pension schemes, showing the extent to whichexisting occupational provision is not geared to covering all employees. The survey covers schemes with more than £176bn in collective assets,representing a third of all members of UK pension schemes. www.capitagroup.com last_img

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