What you will get from this policy briefing
By drawing from a range of examples both in the financial services sector and abroad, this paper provides:
- An overview of current pensions policy initiatives
- An assessment of different communication methods that have successfully encouraged positive behaviours throughout the savings process from accumulation to decumulation
- Actions stakeholders can implement to help savers understand and increase their engagement with their retirement savings
Insight
With increasing longevity, the rise of Defined Contribution pensions, and the introduction of Pensions and Freedoms, individuals are increasingly bearing more risk and responsibility for ensuring they have adequately saved for retirement. This shift coupled with difficult terminology, complex concepts, and an annual deluge of disclosure information can leave savers feeling overwhelmed, confused, and, as a consequence, reluctant to engage with their savings.
In this pensions landscape, the way employers, pensions providers, and Government communicate retirement savings will play a vital role in ensuring individuals’ are adequately and sustainably saving. More importantly, with the upcoming launch of the Single Financial Governance Body (SFGB) and pensions dashboard, the Government has an opportunity to incorporate these methods to ensure these initiatives are as successful as possible.
Recommendations
Our analysis suggests that successful communication should:
- be based on tangible goals for retirement
- allow savers to monitor their progress towards these goals
- be segmented and targeted
- build financial capability
- promote tools to engage savers with their retirement savings
These methods provide consumers a targeted, practical and accessible approach to retirement savings throughout the savings process. Although each stakeholder will tailor their communications to suit their specific customers’ needs, these methods provide adaptable tools, based on consumer interests and behaviours that have impact in encouraging individuals to become proactive in managing their retirement savings.
Related documents
Contact Details
For further information, please contact the Policy Team at
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Events calendar
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Behavioural Science Series with Keith Grint - Wicked Problems, Clumsy Solutions and Leading Change
19 April 2021
Wicked Problems, Clumsy Solutions and Leading Change -
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Professional Skills Training Webinar - 21 April 2021
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Available to watch globally in May.19-21 May 2021
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Online webinar series16-22 June 2021
Welcome to the programme for our 2nd Virtual Pensions Conference. This year's conference features 11 webinars offering members and non-members the opportunity to get up to date content from leading experts in the pension industry. There will also be opportunity to ask questions and contribute to the discussion.
Wicked Problems, Clumsy Solutions and Leading Change
Dr Catherine Donnelly will present the basics of the structures for pooling longevity risks and summarise recent research results in this area in addition to outlinging future research around this topic. This is work under a research programme funded by the IFoA's Actuarial Research Centre, called '
Climate-Related Risk - This free to view webinar on Climate-Related Risk is the first in a series focusing on some of the ‘Hotspots’ identified in the 
Join us for this brand new IFoA webinar weries comprising of a fortnight of webinars, panel sessions and a 
Mis-estimation risk is a key element of demographic risk, and past work has focused on mis-estimation risk on a run-off basis. However, this does not meet the requirements of regulatory regimes like Solvency II, which demands that capital requirements are set through the prism of a finite horizon like one year. This paper presents a value-at-risk approach to mis-estimation risk suitable for Solvency II work
This talk will explore the potential benefits that wearable tech can bring to health & protection insurers and their customers. The traditional approach of integrating wearables into insurance has largely focused on measuring steps and using rewards-based incentive programs to encourage more activity.
Join us for this talk with Professor Sir Adrian Smith as part of the 'Dr Patrick Poon Presidential Speaker Series'. Professor Smith joined The Alan Turing Institute as Institute Director and Chief Executive in September 2018. In November 2020, he became President of the Royal Society, in addition to his leadership of the Turing. He is also a member of the government's AI Council, which helps boost AI growth in the UK and promote its adoption and ethical use in businesses and organisations across the country. He received a knighthood in the 2011 New Year Honours list.
Welcome to the programme for our 2nd Virtual Pensions Conference. This year's conference features 11 webinars offering members and non-members the opportunity to get up to date content from leading experts in the pension industry. There will also be opportunity to ask questions and contribute to the discussion.