Pensions dashboard: 5 things you need to know

When you change employers, it's not just a new job you’ll be getting - you may also be enrolled into a new workplace pension.It's estimated that the average worker will build up 11 different pension pots over the course of their career, and keeping track of them all can be difficult. As a result, around £26.6 billion is sat in ‘lost’ pensions across the UK, according to the Pensions Policy Institute (PPI) and the Association of British Insurers (ABI).But a solution is on the horizon: the ‘pensions dashboard’ has been proposed as a one-stop shop for all your retirement information, aiming to enable millions of workers to view all their pension pots in one place online. However, the project has been hit with a string of delays and might not be available until the second half of 2026.Here, Which? explains how pensions dashboards will work and when you can expect to use them.

Why is a pensions dashboard needed?

The government estimates that on average, people may build up 11 different pension pots in their lifetime, and it can be difficult to keep track of them all.It said pensions dashboards will 'revolutionise' the way people interact with their pensions by allowing individuals to see all of their pensions information, including the state pension, in one place online. The dashboards will also will help reunite individuals with lost or forgotten pensions, and support people in better planning for their retirement. Here are five things you kneed to know about pensions dashboards. Find out more: 

1. Your state pension will be included

A former consultation on pension dashboards run by the DWP confirmed that people will be able to view their state pension from day one. This is something that Which? has called for when previously consulted on pensions dashboards.

The government said specific messaging would be presented on the dashboard to make clear the state pension forecasts are based on the current law and current circumstances - which could change in the future.

Find out more: 

2. Pension dashboards will be regulated by the FCA

Eventually, there could be multiple dashboards developed and hosted by different organisations.

The Pensions Dashboards Programme (PDP) was established by the Money and Pensions Service (MaPS) in 2019 to deliver the digital architecture that will enable dashboards to work.

MaPS will develop and host its own dashboard, but for other operators they will need to become a Qualifying Pensions Dashboard Service (QPDS).

A QPDS will need to meet certain requirements and must get authorisation and be regulated by the Financial Conduct Authority (FCA).

MaPS will be in charge of setting detailed standards and if it notifies the FCA that a dashboard is no longer complying with these, the FCA can de-authorise the provider.

The FCA will aim to publish its finalised rules this summer and will open the authorisations gateway shortly after so that firms wanting to create a dashboard can apply for FCA authorisation.

3. Advisers will be able to access clients' dashboards

The government has proposed that MaPS guidance specialists, regulated financial advisers and those considered by MaPS to be appropriate, will be given access to their clients' dashboards.

However, only those with permission will be granted access and savers will be able to remove advisers from seeing their dashboard at any time.

Find out more: 

4. Schemes will be given time to fetch pensions data

13

If a value has not been calculated or provided on a benefits statement within the last 12 months, the regulations propose they will have three days to find it. Defined benefit schemes will be given up to 10 days.

5. Pensions dashboard timetable delayed 

New delays to pensions dashboards mean some of the timings are currently up in the air. For example, it was originally intended that pension schemes would join in three waves, with large schemes jumping on between August this year and September 2024. However in March, pensions minister Laura Trott said it would take longer than anticipated.  On June 8, Trott said pending legislation would include a mandatory 'connection deadline' of 31 October 2026, but that some versions of the dashboard could be available earlier. She said: 'More time is needed to deliver this complex build, and for the pensions industry to help facilitate the successful connection of a wide range of different IT systems to the dashboards digital architecture.'Rather than setting out the entire staging timeline in legislation, we will instead set this out in guidance which we will collaborate on with industry this year. 'This will give the Pensions Dashboards Programme the flexibility it needs to ensure this complex project is completed effectively.'The delays have been met with criticism from the pensions industry and campaign groups.Rocio Concha, Which? director of policy and advocacy said: 'Seven years have passed since the Government first made a commitment to introducing a dashboard, so it’s hugely disappointing to hear that the date by which all schemes will be connected will be delayed by a further 12 months.'With billions of pounds lost or dormant in unlocated pensions, the need for dashboards is stronger than ever. That’s why providers who are already in a position to comply should not wait to do so.'Find out more: 

This article has been updated since it was first published. It was last updated on 12 June 2023 reporting on government delays. 

source https://www.which.co.uk/news/article/pensions-dashboard-five-things-you-need-to-know-aY1lX7H54aej