National Employment Savings Trust (NEST)
Key features
NEST will:
- be a trust-based occupational pension scheme
- be run by NEST Corporation which will have a legal duty to act in the interests of scheme members
- be one of the qualifying pension schemes employers can use to fulfil their new duties under the pension reforms
- be an online pension that provides 24-hour access to information
- be easy to administer and also allow employers to hand over their administration to a third party if they wish
- be jargon-free so employers and members will find the scheme easy to use
- belong to the individual, meaning employers will not have to look after the pots of ex-workers. This also means several different employers can contribute to the same member’s pot over their working life
- allow more than one employer to contribute to a worker’s pot at the same time
- carry no fees for employers using NEST, except in exceptional circumstances
- charge members low fees
- provide an investment approach designed specifically for low-to-moderate earners
- give employers the option of simply meeting their minimum legal duties or using a customised approach to meet their specific business needs.