EXCLUSIVE: A third have seen engagement boost as a result of pension freedoms

EXCLUSIVE: Engagement with pensions is cited by 34% of organisations as one of the top effects of the introduction of pension freedoms, according to research by Employee Benefits and Barnett Waddingham.

The Employee Benefits/Barnett Waddingham pensions research 2018, which surveyed 246 respondents and was published in December 2018, also found that the proportion of employers finding that pension freedoms have caused staff to recognise the value of their pension has risen by 9% since last year.

The added choice offered by the introduction of pension freedoms in 2015 has consistently caused employees to look for guidance from employers. The trend has strengthened this year, with employees asking for guidance at retirement at 42% of organisations compared to 33% last year, and throughout their career at 38% compared to 26% in 2017.

The introduction of financial education for all employees continues to take the top spot when it comes to changes made due to pension freedoms, growing in popularity by 8% and moving in front of last year’s other top choice, which was carrying out a pension engagement exercise.

The proportion of respondents providing employees with one-to-one financial advice when approaching annual or lifetime allowance limits has more than doubled, from 6% in 2017 to 13% this year, again showing the trend of increased guidance and education.