The technical content of the website has been rewritten and updated to appeal to a wider audience, including the millions of people who will become pension savers for the first time, over the coming months and years, due to automatic enrolment into workplace pensions. Topics that feature on the website include saving into a pension, taking money from your pension pot and tracing a lost pension.  The website provides a wealth of top tips for saving and planning for a comfortable retirement.

The newly revised series of factsheets provide more detailed information on topics such as income drawdown, the annual allowance and taking lump sum payments. These spotlights can be found on the publications page.

A series of short videos has also been added to help people learn more about automatic enrolment and the importance of saving for retirement. As one of the Department for Work and Pension's strategic partners in the roll out of automatic enrolment, we will be working closely with our partners to ensure those people who need support can access the help they need. 

Marta Phillips OBE CA, Chief Executive of TPAS said: "I am delighted this work has been completed as it gives us the foundation we need to make it more relevant for people seeking information and guidance from TPAS.  Users of the website and social media links can look forward to further developments which will enable them to find the information they need."

Alison Bailey, Head of Policy and Technical Development at TPAS said:  "With over 3 million visits to our website in the last year, we know that more and more people are seeking help and support with their pensions. We hope that the new content will make it easier for people to find the information they need, as well as encourage more people to save for retirement."

Please let us know your thoughts on our website by completing a short online survey: https://www.surveymonkey.com/s/TPASwebsite
We welcome your feedback so we can continue to improve our website.

We are holding an Open Evening on Tuesday 16 April 2013 6.30pm - 8pm at our London office to give you the chance to meet with current volunteers and staff and find out more about the benefits of volunteering at TPAS.

Our volunteers provide a valuable service, helping members of the public with their pension problems and many find it a very rewarding experience;

"Being in pensions has given me a good career. I'm glad to be able to give something back."

Others have said: "I like helping people, and wanted to do some sort of voluntary work. TPAS … is really worthwhile."

If you have experience of working in the pensions industry and are able to commit to at least one day a week, please consider volunteering at TPAS. In return for your help we can offer you the following;

1)    Affiliate Membership of PMI for all volunteers that are not in work/retired

2)    Membership of a supportive team of like-minded professionals

3)    Access to TPAS's in-house technical training, materials and support

4)    Re-imbursement of all reasonable expenses (travel to and from the office/refreshment) on production of receipts

5)    A personalised induction and initial training programme to fully equip you to help on our helplines

6)    A technical mentor to support you with any day to day questions you may have

7)    The mental challenge presented by supporting people with a wide range of pensions issues

8)    The satisfaction of knowing that using your knowledge has made a difference!

If you would like to attend the Open Evening on Tuesday 16 April please confirm your attendance by emailing: Cathy.Prenderville@pensionsadvisoryservice.org.uk

To find out more about becoming a volunteer at TPAS please contact Cathy Prenderville on the email address above.

It's no secret that the retirement incomes of both men and women are both stretched and under pressure in today's economic climate, but for women, the strain is particularly pronounced this year as their expected incomes reach an all-time low.

The study also found that 43% of women retiring this year feel financially well-prepared for retirement, compared with 52% of men. Just 32% of women believe that they will have enough income to enjoy a comfortable retirement, compared with 41% of men.

Commenting on the findings, Marta Phillips OBE CA, Chief Executive of The Pensions Advisory Service said: "Whilst the research shows that many women will not have as much income in retirement as men, there are a number of practical steps that women can do to get the most out of their pension savings.

"Save as much and as often as you can, so your savings have time to grow.  If you are taking a career break consider maintaining your pension contributions and making voluntary National Insurance contributions when you return to work. When you come to retire, remember to shop around for the best pension deal for your money. "

"If you need help with planning your retirement and have questions about your pension call our dedicated pensions helpline for women on:
0845 600 0806."

•  The start of the single tier state pension has been brought forward a year.  This will now begin in the 2016/17 tax year.
• As a result, if you are a member of a defined benefit scheme, you will not be able to contract out of the state second pension from 2016/17.  This means that you and your employer will no longer be entitled to pay national insurance contributions at a reduced rate.
• As announced in the Autumn Statement 2012, the lifetime allowance for pension savings will reduce from £1.5 million to £1.25 million from 2014-15.  As part of this change, the Government will offer a fixed protection regime to help you to protect the savings you already have. 
• The Government will also consult on the detail of an individual protection regime in Spring 2013.  Legislation will be included in the Finance Bill 2014.
• As announced in the Autumn Statement 2012, the annual allowance for pension savings will reduce from £50,000 to £40,000 from 2014-15.
• The Government will increase the capped drawdown limit from 100% to 120% of the value of an equivalent annuity from 26 March 2013.

We will add further details to our website when they become available.

Click here for further information about the budget statement.

Click here to read more about the reduction in the lifetime allowanace and the annual allowance. 

Marta added:

"From the numerous calls we receive on our helpline we are also concerned that many people are just not saving enough. Our team of pension experts are available to help anyone who has questions about their pension."

The report, 'The Future of Retirement' was published today by HSBC. To read the report, please click here.

The TPAS helpline number is 0845 601 2923 and is open Monday to Friday 9am to 5pm.

The perpetrators often work alongside 'introducers' or 'advisers' who try to entice the public with spam text messages, cold calls or website promotions into transferring their existing workplace or private pension with the promise of being able to release a portion as cash before the age of 55.

People may be misled or not properly informed that tax charges and fees can erode their pension pot by more than half, leaving them with little to live on in retirement. The remainder of their funds are likely to be invested in highly dubious and risky, unregulated investment structures, often based overseas. The amount that has been 'liberated' from pension schemes in this way is known to be in the hundreds of millions of pounds, with thousands of members affected.

Warning signs

Accessing your pension before age 55 can result in an "unauthorised payment", which can attract significant tax charges and penalties. On top of administration fees, total charges can amount to more than half of the amount transferred. Additionally, taking money early means individuals will be poorer in retirement.

Things to look out for:

• Being approached out of the blue over the phone or via text message.
• Pushy advisers, often unregulated, who claim to be able to help you access your pension before age 55.
• Companies that offer a 'loan', 'saving advance' or 'cashback' from your pension.
• Any reference to 'loopholes', overseas investments, creative or new investment techniques.

The Pensions Regulator has worked with other agencies to produce information, carrying distinctive scorpion imagery, illustrating the threat to people's pensions if they are taken in by such offers. The new information includes:

• A warning insert that administrators and pension providers will be asked to include in the information they provide to members who request a transfer of their pension. The insert can be viewed here.
• A more detailed information leaflet for members of pension schemes looking to understand the consequences of these offers, which can be viewed here.

Steve Webb, Minister for Pensions, said:

"Money in a pension is there for retirement and should not be released before at least the age of 55. The Government is investigating a number of schemes where firms appear to be preying on people when times are tight, and I am working closely with The Pensions Regulator to ensure rules are not being broken."

The Pensions Advisory Service's chief executive Marta Phillips said:

"Although it may be tempting to release cash from your pension early, schemes presented to you, particularly if you are under age 55, are unlikely to be legitimate and you will incur a large tax penalty. In addition, our experience is that you are also unlikely to ever recover the balance of your funds. Therefore, if it sounds too good to be true, it usually is."

Contact

If you think you may have been a victim, or if you have information regarding pension liberation fraud, contact Action Fraud on 0300 123 2040.

If you, or someone you know, has been contacted about transferring a pension to another scheme and are concerned about whether it is legitimate, then contact The Pensions Advisory Service (TPAS) helpline for information and guidance on 020 7932 5791.

The new state pension

The Bill replaces the current state pension, which has two parts (the basic state pension and the additional state pension) with a new single-tier state pension. This will be for everybody who reaches their state pension age after the new state pension is introduced. Under the current system, the amount of state pension paid to an individual is based on complicated calculations to do with the amount of national insurance contributions they have paid or been credited with. The new pension will be simpler.  It will be 'single-tier' - no longer made up of lots of different parts such as the basic state pension and additional state pension. It will be flat rate - the same for everybody depending based on how much national insurance they have paid.   The current state pension is partly linked to earnings.

Individuals will need to pay or be credited with 35 qualifying years of national insurance contributions to receive the full amount.  This is likely to be around £144 a week in today's money. Where an individual has fewer than 35 years qualifying years, their state pension will be 1/35^th of the full rate for each qualifying year of national insurance they have paid. So for example, somebody who has paid for 20 qualifying years will get 20/35ths of the full rate.

Individuals will need to pay or be credited with national insurance contributions for between seven and ten years to receive any state pension.  The exact number of years has not yet been determined.

Self-employed people will also build up entitlement to the new state pension once it is introduced.  At the moment, self-employed people can only build up basic state pension and cannot get the additional  second pension.   

The Bill contains special provisions for people who have made national insurance contributions before it comes into force, to ensure that all their national insurance contributions are taken into account under the new system. Anybody who has paid enough national insurance to get more under the current system will keep it.

Special provisions will also apply to:

• people who have been treated as if they paid, or credited with national insurance contributions in respect of tax years before the introduction of the new state pension;
• people inheriting entitlement from a late husband, wife or civil partner who had made national insurance contributions in respect of tax years before the introduction of the new state pension; and
• women who, before 1977, elected to pay a reduced rate of national insurance contributions.

Pension credit

The draft Bill abolishes the savings credit element of state pension credit for anyone who reaches their state pension age on or after the introduction of the new scheme.  Anybody already receiving savings credit will keep it. The guaranteed element of state pension credit will remain as a last resort for those who need it.

Postponing state pension

There will be new rules for postponing or suspending state pension.  Deferral is allowed, in return for a higher weekly state pension (possibly 1% for every ten weeks, but the rate to be confirmed) but it will no longer be possible to take the deferred amount as a lump-sum payment

The Impact Assessment published with the Bill shows that over half of those over-25 will receive more state pension income than under the current system, as will three-quarters of all new retirees in the 2020s. 

Self-employed people are likely to be better off because they can't currently build up any additional state pension. Women and people with caring responsibilities may also be better off.

Contracting-out

The draft Bill abolishes contracting-out under salary-related occupational pension schemes.  Individuals who are members of private and public sector contracted-out schemes currently pay a lower rate of national insurance.  This is because they are not building up additional state pension entitlement whilst they are contracted-out.  Instead, they build up a broadly comparable additional pension in their private scheme. When contracting-out ends, they will pay more national insurance as there will no longer be a lower rate for people who were contracted-out.  This is not likely to happen until 2017.

State pension age

The Bill brings forward by eight years the timetable for increasing state pension age from 66 to 67, to begin in 2026 and end in 2028. The state pension age was due to increase to 67 between 2034 and 2036.  There will be regular, independently-led reviews of state pension age so that it will continue to rise in line with increases in life expectancy.

Bereavement benefits

It introduces a new Bereavement Support Payment, to replace the existing suite of bereavement benefits.  The new benefit will only apply to people whose husband, wife or civil partner dies on or after the date it is introduced.  It will provide support for the period immediately following bereavement. It will consist of a larger tax-free lump sum, supplemented with monthly payments for one year; only people who have not yet reached pensionable age will qualify, however.  Anybody already receiving benefits following the death of their husband, wife or civil partner will not be affected.

The role of volunteers lies at the heart of the TPAS offering.  It differentiates us from much of the public sector and at a time of public spending cuts offers a lifeline to continue delivering a quality service.

I would like to thank our Regional Organisers whose role has grown over the years.  They make an immeasurable contribution to the organisation of our activities.  They are a key lynchpin with our London office and act as recruiters, mentors and sometimes offer a gentle admonishment.  We are looking at how we can build on the success of the Regional Organiser model whilst recognising that the distribution of our volunteers across the country has changed over time.

Technology playing its part

Technology is playing a significant part in adapting our ways of working to cope with the public's demands particularly for information and guidance.   We have almost completed a significant programme of work upgrading our infrastructure - IT refresh, new customer relationship management system and state of the art telephone system.

We are currently engaged in a project to upgrade the website - content and performance - to enable it to offer new functionality including video content as well as working with other bodies to enhance the information provided.  We have recently launched our facebook page and are tweeting. This reflects the fact that many new pension savers, especially many being auto-enrolled, are used to receiving their information through modern media.  We are looking at how we can use this new technology to support our volunteers, more than just using e-mail addresses to communicate and the intranet to share technical information. In fact, you can follow us on twitter @TPASnews to keep up to date.

30^th Anniversary

Our 30^th anniversary provides an opportunity to look back and reflect.  There is no doubt that the establishment of what was OPAS back in 1983 was revolutionary for its time.  I'd like to take this opportunity to acknowledge Margaret Brand whose foresight and vision led to the creation of what is now TPAS.  The recent changes to state, public and private pensions, including the introduction of automatic enrolment and the recent announcement on the flat rate state pension, all demonstrate that we are just as relevant now as we were at our founding.  Arguably, the landscape is more complex and uncertain for the public and the difficulty of navigating through it more challenging for professionals in the industry.  However, the ability to boil it all down to jargon free, impartial, digestible information has always been one of TPAS's strengths.

Partha Dasgupta
Chairman, The Pensions Advisory Service