NEST

NEST stands for the National Employment Savings Trust and is a government scheme that is designed to encourage employers to offer private pensions to employees and encourage individuals to save for their retirement.

All individuals will be automatically enrolled into a company pension scheme in which both individuals and employers will contribute. It will be possible to opt out of the NEST scheme.

It is expected as the scheme becomes established that employers will have to pay a minimum of three per cent of an employees’ annual salary and employees’ will be expected to contribute a minimum of five per cent of their annual salary in to the pension fund.

It is likely that the scheme will become the UK’s largest pension scheme. The scheme will charge members two per cent initially to cover its start-up costs. It is not known how long this initial charge will last. There will also be an annual management charge of 0.3 per cent.

	Lift limits on NEST pension scheme, say MPs Restrictions on the National Employment Savings Trust pension scheme must be lifted to make it more appealing, according to a committee of MPs.
	Three million 20-34-year-olds yet to fly the nest The number of people aged 20-34 who still live with their parents has risen to 2.9 million since 1997 due to higher rents, increased debt and the difficulty of getting a mortgage.
	NEST sets out investment approach The National Employment Savings Trust (NEST) has revealed its investment strategy and funds selection to its members.
	Warning on NEST pension auto-enrolment Saga’s Dr Ros Altmann is concerned that the new system of pension provision that will be introduced will leave pensioners short of an adequate income in their retirement.
	Employees encouraged to save for their NEST egg The government’s personal accounts scheme took a step closer to being realised yesterday as the Personal Accounts Delivery Authority (PADA) announced the details of the government’s own pension provision scheme.