NEST Rule change consultation

10 February 2016

National Employment Savings Trust (NEST) has issued a consultation on proposed changes to its scheme rules, which bring aspects of the scheme into line with changes to pension legislation and takes account of the lifting of the restrictions on NEST from April 2017.

The consultation covers various technical items pertaining to NEST’s rules. These include:

• Updates to NEST’s rules to allow lump sums and partial lump sums to be paid as benefits as provided for by the ‘freedom and choice’ changes introduced in April 2015
• Changes which reflect amendments Parliament has made to the NEST order and their revocation of the ‘Disapplication regulations’ (both from 2017), to lift the restrictions on NEST
• ‘Tidying up’ changes, for example to bring the rules into line with recent legislative changes such as the change to pension input periods

Although changes are being consulted on now, any approved changes will not come into force until April 2017.

The Rule change consultation runs until 21 March 2016.