What is a Pensions Dashboard and why do consumers need them?
Typically, workers will have an average of 12 roles throughout their career, and that’s expected to continue to increase. Research has shown that people under 24 have approximately 3.8 more job changes than people who are over 45. That means the workforce of today already has multiple pensions – both workplace and private – plus their state pension. But it also means they’re quite likely to have lost track of them. And with the introduction of auto enrolment some people may not even realise they have a pension through their employer!
That’s where the Moneyhub Pensions Dashboard comes in! The aim of this unique Open Finance tool is to help people feel more in control of their pension pots by understanding how much they’re saving for retirement. As Alastair Reed, Principal Policy Adviser, Money at Which? explained during a Moneyhub webinar: “While consumers may not need to check their pension dashboard daily, it is essential to review it at crucial life moments and when approaching retirement. Pensions Dashboards can encourage better decision-making, such as when to access pension funds and whether to seek advice or guidance. By providing a clearer picture of their pension assets, consumers can make more informed choices and better prepare for their retirement years.”
On top of that, there’s a commercial opportunity for pension providers, banks and building societies to make it more straightforward for consumers to make additional payments when their funds allow. How? Outside of, but potentially alongside, the FCA-regulated Dashboards environment, Open Banking payments provide a friction-free, more secure money transfer option.
What do consumers want from a Pensions Dashboard?
There has been lots of research into what consumers are looking for when it comes to a Pensions Dashboard. Broadly, they’re excited about the potential of this new financial tool:
“I’d be really excited about a tool like this where you can see all your pensions together. It would make my life easier. So many people are just in denial about their pensions – they don’t even think about, let alone look at, their pensions.”
Female, 50 years old, Moneyhub research May 2023
"I know I've got 2-3 pensions that I paid into when I was self employed, that I don't know how much I've got in there. And I've got one with work. So, I don't know what my total thing is, I really don't. I don't know where to go for everything together."
Male, 55 years old, Moneyhub research May 2023
Specifically, they want:
To be able to see all their pensions in one place.
Access to key information such as total monthly income (TMI) that they might receive in retirement across different pensions.
Security, simplicity, and support.
Read our blog posts to learn more:
What do consumers want and expect from Pensions Dashboards? Part 1
What do consumers want and expect from Pensions Dashboards? Part 2
Moneyhub can help you create your white-labelled Pensions Dashboard and more
Developing a Pensions Dashboard requires access to multiple data points and compliance with several complex regulations from different Government and Regulatory bodies. In many cases, companies seeking to launch a Pensions Dashboard are turning to Moneyhub to help them build a robust, compliant yet user-friendly option, both quickly and efficiently. Outsourcing the design and development process to a Technical Services Provider like Moneyhub can be a smart move. Here are some key reasons why:
Tried and tested: We’ve already done extensive usability research with real people, looking at how they interact with and understand the dashboard interface. This ensures our dashboard provides a consistent and seamless experience for users.
Expert team: We are an Alpha Partner to the Pensions Dashboards Programme, and members of our team are members of the PDP Steering Group and have even contributed towards the development of the standards.
Efficiency: By outsourcing the design and development process to Moneyhub we can get you to market quicker. We offer a more streamlined, efficient, and cost-effective approach, as we already have the infrastructure, knowledge, and resources in place to ensure compliance with the PDP Data and Design Standards.
Security and compliance: The protection of users' personal and pension data is imperative. We’re one step ahead, with our experience in the financial services industry enabling us to implement robust security measures and adhere to privacy regulations.
If you’re currently weighing up whether to develop your own dashboard or partner with a provider like Moneyhub, take a look at our blog outlining the factors you’ll need to consider: Pensions dashboards: Build or Buy?
You get access to our Open Banking payments expertise
By working with Moneyhub on your dashboard, you’ll also gain access to our expert Payments Team. Outside of, but potentially alongside your dashboard, Open Banking payments capabilities could allow you to stand out from the crowd in what is expected to be a big set of commercial Pensions Dashboard providers. One of the key goals of Pensions Dashboards is to improve consumers’ financial wellbeing. Outside of the regulated Pensions Dashboard environment, this could be further boosted by making it easier for customers to make additional contributions through Open Banking payments.
If consumers find themselves able to pay more into a personal pension than they had expected, whether as a one-off payment or by regular payments into their pension pot as they approach retirement, Open Banking technology can allow them to make those payments seamlessly and securely.
Get in touch to find out how we can help you build a white-labelled Pensions Dashboard and associated Open Banking payments to meet all of your customers’ needs. Contact Moneyhub
