The latest quarterly business figures from the Association of British Insurers show that the number of employees taking on new workplace pensions has fallen.
Figures from the Association of British Insurers (ABI) show that while overall sales of life and pensions products were up by 2.8% on the same period in 2004, sales of group occupational pensions fell by 3.5%.
Chris Kenny, ABI director of Life and Pensions said that while the pensions and long-term savings market was ‘steady’ not enough was being done to tackle the increasing savings gap.
The fall in collective workplace savings shows that the UK is missing a key opportunity to reinvigorate overall saving levels. We need to improve incentives for employers and workers alike, and consistently promote the need to save, Mr Kenny commented.
The Association of British Insurers, which represents over 94% of the insurance business in the UK, plans to launch a policy program detailing recommendations for savings reform. It is expected to call for immediate action from both government and the industry.