Contracting out rebates must be 50% higher

Rebates for contracting out of the state second pension (S2P) need to be at least 40% to 50% higher ...

Rebates for contracting out of the state second pension (S2P) need to be at least 40% to 50% higher than current levels to ensure parity, a report commissioned by the FSA has claimed. In examining the contracting out realm for 2005 and 2006, a report from Oxford Actuaries and Consultants (OAC) highlighted that in almost every variable, an investor would be better off in S2P rather than contracting out with rebates at their current levels. The ABI has responded to the FSA's report with a paper outlining the case for retaining and reforming contracting out. The association supports the OA...