Pension administrators are gearing up for a flurry of enquiries once dashboards launch, with a third of pensions schemes predicting that the majority of their members will access this new service within a month of launch. .
The polling, by WTW, found a total 31 per cent of UK schemes expect 50 per cent of more of their membership to log onto the dashboard within this timeframe.
This polling shows that scheme managers anticipate one of the biggest challenges being the increase of enquiries for administrators and providers, once the dashboard is live. Almost three quarrel of schemes (71 per cent) said this was likely to be the biggest problems — significantly ahead of other perceived challenges, such as capacity within the pensions industry (17 per cent), employee concern over their pension provision (8 per cent) and a reduction in members accessing their existing pension portals (4 per cent).
Geraldine Brassett, senior consultant in WTW’s outsourcing business says: “When members first have access to the MoneyHelper pensions dashboard, we expect to see a large increase in activity across the industry. We need to be well prepared for that because it’s very important for savers to have trust and confidence in dashboards right from the start.”
The Government’s MoneyHelper pensions dashboard will be the first to launch to the public, with saver testing expected to commence in Summer 2025. All UK pension schemes must be fully connected by 31 October 2026, and it is anticipated that private sector dashboards will launch after that.
Brassett adds: “It may have been a number of years since some savers have been in contact with their scheme but once dashboards launch it will suddenly be front of mind for many. The way people use dashboards is likely to differ too. Younger savers may want to know what a defined contribution scheme is, how they invest and how much they should save. Those approaching retirement may want to know about transfer options and when they can afford to retire.
“We recognise that this is likely to prompt a lot of questions from members who are not fully familiar with their pension provision so, as an industry, we need to provide information and education for members of all types.”
The polling also found that pension schemes are keen for private sector providers to launch their own dashboards soon after the MoneyHelper Pensions Dashboard is released. A third (32 per cent) would welcome the addition of private sector dashboards within six months, with 39 per cent suggesting a timeline of between six and 12 months. The remaining 29 per cent thought between one and two years was likely. No respondents thought two years or longer was reasonable.
“Industry views private sector dashboards – those provided to savers by pension providers themselves – as an important part of how people will engage with dashboards” said Brassett. “As administrators we need to make sure that we hit the mark to support savers whichever way they decide to use dashboards, be that the government’s dashboard or a commercial version.”
