8th April 2019
- New name and brand launched, establishing the organisation as a joined-up service for money and pensions guidance
- First event kicks off a programme of listening events throughout the UK
- Listening document released, starting the process of development of new National Strategy
The newly launched Money and Pensions Service is calling on organisations throughout the UK to get involved in the development of the organisation’s strategy to improve the nation’s financial wellbeing.
The new organisation, which has officially launched today, is a joined-up service for everything from debt help to money and pensions guidance. Uniquely, the organisation will focus on improving financial wellbeing throughout people’s lifetimes, equipping, empowering and enabling individuals to make informed financial decisions with confidence.
Sponsored by the Department for Work and Pensions, the government-backed organisation has an ambitious vision to tackle the many complex financial wellbeing challenges faced by people in the UK, through working in partnership with organisations across many sectors.
To facilitate this, the Money and Pensions Service is undertaking a UK-wide programme of listening events. Between today and the end of June, this will serve as an opportunity to discuss views on everything from pocket money to pensions, and help create the new National Strategy for Money and Pensions, as well as the organisation’s three-year corporate plan. The National Strategy will set the organisation on the road towards its vision of everyone making the most of their money and pensions.
The listening events will include stakeholder roadshows in 10 locations across the UK, offering stakeholders the opportunity to discuss what is specifically needed to improve financial wellbeing in their local communities and at a national scale.
Those who are unable to attend events will also have the opportunity to give their written input by responding to the key questions in the listening document1 that will influence the organisation’s future strategy in an email to firstname.lastname@example.org.
The listening phase will influence the organisation’s strategy to collectively address the five building blocks to managing money and pensions well: savings, credit use, debt advice, retirement and financial education. The goal is to work with partners to convert each £1 of the Money and Pensions Service’s budget into £10 of customer impact through the wider sector.
The Money and Pensions Service has also released its business plan which sets out the key performance indicators for the organisation’s transition year:
- Money guidance: deliver 170,000 contact centre sessions; a 3% increase from 2018/19.
- Debt advice: Provide help for 560,000 over-indebted people in England; in 2018-19 the Money Advice Service funded 530,000 debt advice sessions UK-wide
- Pension freedoms: Deliver 205,000 pension freedoms transactions; a 21% increase from 2018/19
- Pensions guidance: Deliver 290,000 plus personalised pensions guidance sessions; a 26% increase from 2018/19
This will be in the context of efficiency gains achieved by bringing three organisations into one, enabling the organisation to increase its focus on front-line services. Further details of the business plan can be viewed at www.moneyandpensionsservice.org.uk.
The new Money and Pensions Service customer website will go live towards the end of 2019, to be influenced by the findings of the listening phase and the emerging National Strategy to improve the financial capability of the UK population, their ability to manage debt, and the provision of financial education to children and young people. Until then, guidance will continue to be available through the websites of the previous component parts of the Money and Pensions Service – Pension Wise, the Money Advice Service and The Pensions Advisory Service.
John Govett, Chief Executive at the Money and Pensions Service, said: “Improving the UK’s financial wellbeing is only possible through collective action, and engaging a wide community of organisations and businesses for their views is the first step. It is crucial that anyone who has an interest in improving people’s ability to manage their money and pensions is able to contribute to the conversation about what’s needed.”
Sir Hector Sants, Chair of the Money and Pensions Service, said: “Our vision is to create a society where everyone is making the most of their money and pensions. To do this, we need to change the relationship we have with money. Making financial decisions is not unlike shopping at the supermarket – consumers are confronted with many options and must decide what is the best choice for them based on what they need, on price and quality. There has been a lot of great work over the past few years to enable people to make more informed food choices; it’s time to think about financial wellbeing through a similar lens.
“With 47% of adults saying they do not feel confident about making decisions about financial products and services, its essential people feel empowered to engage more regularly and more confidently with their money and pensions, so they can enjoy greater financial wellbeing throughout their lifetimes.”
Guy Opperman MP, Minister for Pensions and Financial Inclusion said, “This Government wants to ensure that it is as easy as possible for people to get all the help they need to make effective financial decisions throughout their lives. The launch of the Money and Pensions Service is a big step towards meeting that commitment, providing a one-stop-shop for high-quality, free and impartial information and guidance.
“The Money and Pensions Service will be there for those most in need as well as helping today’s younger generations to become the savvy savers of tomorrow. It will play a vital role too in the creation of ground-breaking pensions dashboards which will bring pensions into the 21st Century.”
For a full list of the events taking place around the UK, please visit moneyandpensionsservice.org.uk/listening
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1 Appendix: Key questions to be posed to organisations during consultation period
- What are the top priorities the Money and Pensions Service should focus on over the next three years?
- We are required to help those ‘most in need’ and those who are ‘in vulnerable circumstances’. How can we best identify and reach them? What evidence do you have to help us target these groups effectively?
- For each area of our remit, how should we balance maximising impact with ‘most in need’ and ‘vulnerable’ groups (even if that means reaching fewer people overall), and reaching as many people as possible (even if that means we have less impact on each individual reached)?
- How should we balance Money and Pensions Service resources between preventing financial difficulties occurring in the first place, and helping people who are in need or crisis right now?
- How should we facilitate the improvement of quality, efficiency and capacity within the money guidance, financial capability, debt advice, or pensions guidance sectors?
- What are the most significant gaps for public financial guidance to fill?
- Is the current regulatory boundary between guidance and advice working in the best interests of consumers? If not, why?
- How can we achieve our target outcomes at scale by working with different sectors (e.g. employers, financial services firms)?
- How could we maximise funding in the sector and attract new sources of funding?
- If you are not already involved, what would motivate you or your organisation to support people to make the most of their money or pensions? What is currently stopping you and how can we reduce those barriers?
- What more could we do to make best use of the different channels through which consumers could access information and guidance about money and pensions?
- What opportunities are now available to address issues around money and pensions in a holistic way now that three organisations have been brought together into one?
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About the Money and Pensions Service
The Money and Pensions Service vision is people making the most of their money and pensions.
The new organisation brings together the free services delivered by the Money Advice Service, The Pensions Advisory Service and Pension Wise.
The Arms-Length organisation is sponsored by the Department for Work and Pensions, with a joint commitment to ensuring that people have access and guidance to the information they need to make effective financial decisions over their lifetime. The organisation will also engage with HM Treasury, which is responsible for policy on financial capability and debt advice.
Working hand-in-hand with stakeholders throughout the UK, the Money and Pensions Service will ensure that money and pensions guidance is available to those that need it, adapting to people’s changing needs throughout their lives, offering services and appointments over the telephone, online and in person where appropriate.
The Money and Pensions Service will also be responsible for delivering and overseeing pensions dashboards, to help people access their pensions information online, in partnership with the DWP. An industry delivery group will be brought together by the Money and Pensions Service, which will set out a clear timetable and roadmap to drive progress towards fully operational dashboards throughout 2019.
For further information for stakeholders, they should visit the new Money and Pensions Service website www.moneyandpensionsservice.org.uk
Consumers can continue access free guidance about their money and pensions via the following websites and help lines:
https://www.pensionwise.gov.uk/en / 0800 138 3944