L&G has launched a cash savings platform, providing access to a range of savings products for DC members via Raisin UK.
It aims to address the fact that some savers hold money in low-interest accounts, often because they do not switch providers or compare options.
According to research from L&G, 22 per cent of retirees have taken, or would consider taking, a cash lump sum from their pension to move into a current account or cash ISA for short-term savings. The research also found that 80 per cent of DC members would value a dedicated cash savings platform to help them compare providers more easily.
Eligible members can access savings products from more than 40 UK-registered banks through L&G’s app or website and are then directed to Raisin UK to complete the application process and select a product.
The service includes access to over 250 FSCS-protected savings products, enabling members to compare rates and terms.
L&G says the platform is expected to be extended to retail savings and annuity customers later this year.
L&G CEO, DC & Workplace Savings Paula Llewellyn says: “Our partnership with Raisin UK reinforces our commitment to working closely with clients to improve the financial wellbeing of their scheme members. By offering simple access to competitive savings products, we’re helping to remove barriers and build the confidence needed for long‑term planning. Confidence drives action; as employees’ needs change, we continue to evolve our support to help them make better choices and secure better retirement outcomes.”
Raisin UK CEO Steven Amos says: “Customers deserve simple access to strong savings options, yet our research shows that many savers are losing out because their money sits in low yielding accounts. By working with L&G, we are making it easier for more customers to compare, choose and benefit from competitive rates. L&G is one of the most established names in the sector and we are delighted to partner with them to create a smoother and more rewarding savings experience.”