To continue reading please register or login to your OHW+ account.
Nearly half the pension schemes in the UK have seen their costs grow at a faster rate than other business overheads, according to research by business support company Capita Hartshead.
The Eighth Annual Pension Scheme Administration Survey shows that 45 per cent of schemes have seen pension administration and contribution costs grow in the past five years as a result of steps taken to address lower surpluses, low inflation, member longevity and changes to Advanced Corporation Tax.
Mike Addenbrooke, business services director of Capita Hartshead, said, "While so many schemes complain bitterly at the extra costs being placed on them, more than a third who retain service administration in-house are still neglecting to cost their own administration services."
The survey also shows that more than 40 per cent of schemes will be required to offer access to stakeholder pension schemes, showing the extent to which existing occupational provision is not geared to covering all employees.
The survey covers schemes with more than £176bn in collective assets, representing a third of all members of UK pension schemes.
