On the go: Pensions minister Guy Opperman has urged providers to start preparing their data now for the anticipated arrival of pensions dashboards.
Mr Opperman stressed that providers should start preparing for dashboards sooner rather than later, as they must ensure the data being submitted is secure, accurate and user-friendly.
The pensions dashboard project was first announced in the 2016 Budget, with the government pledging to ensure the industry designed, funded and launched a dashboard.
In December 2018, it confirmed the introduction of multiple pensions dashboards, and suggested the first one – developed by the Money and Pensions Service – would be ready to launch in 2019.
But the industry is yet to see any dashboards enter the market, after Brexit and the general election delayed the publication of the pension schemes bill, which includes rules on pensions dashboards.
The second reading of the bill is now scheduled for next week. Mr Opperman has said providers do not need to wait for this legislation to start getting their data ready.
He said: “Dashboards will bring pensions into the digital age and transform how we all think about and plan for retirement... therefore, it’s in everyone’s interest that pension schemes are getting accurate, up-to-date information in place to help to ensure the new services work well.
“This is consumers’ data and people should be able to see it in one place when they want. Protecting their data will be paramount, and increased online transparency will give savers a greater sense of control, as well as improving their understanding and awareness of their pensions.”
An industry delivery group, brought together by the Money and Pensions Service, will set out a timetable for other fully operational dashboards, as well as setting standards and ensuring security across the portals.
But despite the project having both industry-wide and government backing, some experts – including former pensions minister Sir Steve Webb – have said it is unlikely that the technology will be delivered “any time soon”.
Andrew Tully, technical director at Canada Life, said it is difficult for providers to start preparing for the introduction of these dashboards.
“It’s not yet clear what data will be required for the pensions dashboards and the timescales required, as key decisions have not been made around coverage, inclusion of state benefits and how it is accessed,” Mr Tully said.
“Canada Life will make sure the required information is supplied to help our customers plan their retirements.
“As the dashboard development moves forward, there is much work to be done to streamline processes as much as possible so that information can flow in a simple straightforward way.”
He added: “Just as importantly, for pensions dashboards to be a genuine benefit to people, they need to include state pensions and all private pensions, which means compulsion will be needed.”
