UK Pensions Policy

Paper Summary:

The pension policy of the UK is one that is followed as a model by various other parts of the world for its efficient dealing with the problem of pensions for the aged of the UK. The government takes a keen interest in reforms in the area of pensions and it was for this reason that it announced the latest set of reforms in the year 2000, in its 'pre-budget report' that was released in the month of November of the same year. The paper explains that the report contained a series of reforms and improvements for pensioners. Taken as a whole, the government will be paying pensioners the amount of more than 4 billion pounds a year, every year to pensioners, from the year 2003-2004 onwards. This amount would be a great boon for pensioners in improving the quality of their lives in their final years, especially in the case of those who are extremely economically deprived. The paper examines what prompted the New Labor Party to come up with a complete set of reforms and changes in the pension schemes and policies for pensioners and why there is a need for a pension policy.

From the Paper:

"The legislation that traditionally covers the previously used occupational as well as personal pension schemes is applicable to this new scheme too, but the difference lies in the regulatory standards and the framework on which it is based. When an employer has been able to identify a stakeholder pension scheme and has been able to educate his employees on the various details pertaining to this scheme, he is then required to provide his employees with reasonable access to persons who are in charge of representing and selling this scheme. The employer would also be required to deduct contributions to this scheme from the employee's wages if requested to do so by the employee himself, and pay this amount into the stakeholder pension scheme. However, the employer is not expected to make any monetary contributions towards this scheme; it is the sole responsibility of the employee. In the case of the non-compliance of the employer, he would have to pay a hefty fine of up to 5,000 pounds, and up to 50,000 pounds for non-compliance from a company."

More papers on UK Pensions Policy:

• Term Paper # 148354 : "UK Government Policy on Sex Education"
• Persuasive Essay # 102322 : "Canadian Retirement Pensions"
• Analytical Essay # 132190 : "Retirement Pensions: An Analysis of the CPP"

APA Citation:

MLA Citation: