Government review fails to raise consumer voice

The Government’s independent review of the auto-enrolment policy, due for implementation from 2012, has been met with mixed reviews from the industry, with some concerned that the ‘consumer’ has been left without a voice.

Brendan Barber, general secretary at the Trades Union Congress (TUC), accused the Department for Work and Pensions (DWP) of failing to include a union or consumer representation in the process and described the omission as “disappointing”.

“The plans for auto-enrolment have won wide support and have been built through a careful process of finding consensus,” he said.

“Moving away from the comprehensive approach taken by the recommendations of the well respected independent review headed by Lord Turner would be disastrous for the chances of establishing a new pensions system.”

Barber said that ministers should not forget that a detailed implementation of the 2012 plans has been planned with involvement from employers, the pensions industry and consumer groups.

However, other industry members have been more welcoming of the review. Tim Jones, CEO of the Personal Accounts Delivery Authority (PADA), said the Government was right to take stock of the policy and its delivery.

“We look forward to having the opportunity to support Ministers and the independent reviewers however we can.

“In the meantime we will continue to get on with our work to build NEST, to ensure all options continue to be available to the Government at the conclusion of the review,” said Jones.

Representative body for UK manufacturing, the EEF, said it had played a prominent role in the debate on pensions reform in recent years, and its Head of Employment Policy, David Yeandle, will be one of three independent experts undertaking the review for the Secretary of State over the next three months.

David Yeandle, said: “I am very pleased to have been asked to undertake this important review with Paul Johnson and Adrian Boulding. The debate on pensions reform is now more important than ever and, making auto-enrolment work successfully for both employers and employees is vitally important if we are to reinvigorate workplace pensions saving.”

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