PLSA responds to DWP consultation on multi-employer CDC schemes

Article summary

The Pensions and Lifetime Savings Association (PLSA) has submitted a comprehensive response to the Department for Work and Pensions' (DWP) consultation on regulations for multi-employer Collective Defined Contribution (CDC) schemes. The PLSA's response underscores the potential of these innovative pension models to transform retirement savings for participating organisations and their employees. The association emphasises the importance of striking a delicate balance between robust member protections and sufficient flexibility for non-profit schemes to take the lead. The PLSA views this as a pivotal opportunity to redefine the approach to retirement savings in the UK, building upon the recent milestone of the Royal Mail CDC scheme launch. The association's stance suggests that while only a few multi-employer CDC schemes may be established initially, they could provide tailored, secure pensions for millions in specific sectors.