Consultation on draft scheme order and rules
Sacker & Partners LLP has responded to the joint consultation by the Department for Work and Pensions (DWP) and the Personal Accounts Delivery Authority (PADA) (published on 28 April 2009) on the draft scheme order and rules for the new Personal Accounts Scheme. The consultation closed on 20 July 2009. Designed to encourage greater pension savings, Personal Accounts are due to be introduced during 2012. The Personal Accounts Scheme will be set up as a trust based, money purchase (or defined contribution (DC)) occupational pension arrangement. Eligible employees between the ages of 22 and State Pension Age will need to be automatically enrolled into the Personal Accounts Scheme if they are not enrolled into an employer sponsored arrangement (trust or contract based) which meets the relevant “quality requirement”. This consultation sets out the Secretary of State’s proposals on the draft secondary legislation that will establish the Personal Accounts Scheme (the order) and the non-statutory scheme rules.