10 October 2007
The Government in its Pre-Budget Report has published the
findings of a review carried out by the Treasury and DWP into the
workings of the open market option available at retirement to those
who have built up pensions savings.
The review has produced a package of measures aimed at improving
the operation of the open market option for scheme members. One of
them is the setting up by TPAS of a web-based structured choice
tool to guide people through their retirement income options.
TPAS is pleased to participate in this initiative. The need for
this type of assistance is clear from many of the calls to our
national telephone pensions Helpline. Many of the people who
contact us do not understand what the term 'Open Market Option'
means and have no idea of the choices available to them. Many also
have pension fund values that are too small to be attractive to the
independent financial advice market.
The tool was first developed as an aid to our Helpline operators
in a very complex but important area of generic financial advice.
However, given that we now have over half a million people a year
accessing our web site, www.pensionsadvisoryservice.org.uk, we
decided that we should adapt the tool to be easily used by any
member of the public and available on the web.
This tool is one of a suite of such tools that we are developing
to cover other areas of generic financial advice and which will
appear on our web site over coming months.
Note for Editors
1.TPAS is an independent body supported by the Government which
exists to provide free information and guidance to the public on
pension matters generally.
2.TPAS provides a national pensions helpline 0845 601 2923 which
is open 9.00 a.m. to 5.00 p.m. Monday to Friday.
3.TPAS acts as an impartial mediator in pension disputes
involving occupational, personal and stakeholder pensions. It has
no statutory powers and is not authorized to provide
financial/investment advice.
4.TPAS provides a range of leaflets on different aspects of
pensions. Details can be found on its main website
www.pensionsadvisoryservice.org.uk.
5.TPAS also has a website dedicated to stakeholder pensions
www.stakeholderhelpline.org.uk.
