HSBC has launched a group self-invested personal pension (Sipp) for all employees who participate in the bank’s UK share plans.
When these plans mature, staff will be able to transfer shares in to the group Sipp and gain income tax relief. The Sipp will also sit alongside HSBC’s defined contribution (DC) and defined benefit (DB) pension schemes.
John Beadle, head of group performance and reward at HSBC, said: “Our sharesave scheme is popular with employees as it provides an opportunity to save up to £250 per month to buy shares in HSBC at 20% below market value. The group Sipp provides additional advantages for employees through UK tax relief and so helps retain our people and allows them to invest in the company.”
The group Sipp was implemented by HSBC Actuaries and Consultants Limited (HACL), the employee benefits arm of HSBC, and provided by Standard Life.
Paul Armitage, head of DC pensions at HACL said: “We are seeing increased interest and demand in the market for group Sipp arrangements as employers realise the advantages they bring in a variety of key areas.”