Definitions for "Stakeholder Pensions"
Introduced in April 2001 to promote wider pension saving. Must meet certain minimum standard criteria. Enable individuals without earned income to make provision for their retirement for the first time. No minimum age restriction.
New scheme to be introduced designed by the Government to be independent of employers and meet certain minimum standards to be granted approval. Designed to promote wider ownership of pensions.
A particular form of personal pension introduced from 6 April 2001 with low minimum contributions (£20 per month), low cost transfers to and from other schemes and a maximum annual administrative charges of 1.5% of the fund value for the first 10 years, and 1% thereafter. It used to be 1% from the outset and many schemes are still charged at that level.