News story of the week: Pension sting for low paid workers
Unveiling what Royal London’s director of policy, Sir Steve Webb, has described as a ‘scandal’, the insurance firm revealed this week that around 1.75m workers are missing out on a whopping £60m in pension tax relief.
Through a Freedom of Information request, Royal London exposed that over one million people earning below the personal savings allowance were saving for their retirement in a net-pay arrangement, when the personal tax allowance had risen by £400.
Rather unforgivably, the £60m estimate comes as ministers were quizzed by the Work and Pensions Committee and admitted they didn’t even know how many people under a net-pay arrangement were affected by the current tax relief system. D’oh!
Comment piece of the week: Alternative recruitment techniques
Gill Cardy, financial services lecturer at the University of Northampton, writes for Money Marketing about ‘curious’ recruitment techniques
Citing numerous anecdotes from her own career, Cardy posits that the best candidates are not necessarily those supported by impressive CVs, but rather those that will fit easily into your environment with a willingness to learn. She puts in best here:
“What a graduate or apprentice does not know about tax calculations or drawdown rules can easily be taught... However, a trainee who does not already possess the interpersonal skills required of an adviser may struggle to acquire them.”
Curious as she may think her recruitment technique is, we think it’s darn sensible
Number of the week: Wrisk level up
This week we’re doffing our caps to Wrisk. Hot off the press, the insurance firm has just announced that they’ve hit ANOTHER crowdfunding target. YASSSSS.
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Quote of the week (well done, AJ Bell!)