Retirement Collective Defined Contribution pension schemes

This consultation seeks views on policy proposals for the creation of a new type of Collective Money Purchase Scheme (commonly referred to as a Collective Defined Contribution (CDC) scheme), which is to be used only by pensioner members – a “Retirement CDC scheme”. These schemes would allow individuals who have saved into Defined Contribution (DC) pensions to transfer their pot at retirement into a collective fund that provides a trustee managed income for life, adjusted annually based on investment performance and scheme sustainability.

We have also recently published the government response to our public consultation on draft legislation to extend Collective Defined Contribution (CDC) provision to whole-life unconnected multiple employer schemes and other related provisions