National Employment Savings Trust (Amendment) Order 2015 — Removal of Contribution Limit and Transfer Restrictions — 2 Feb 2015 at 20:04
The majority of MPs voted to remove the annual contribution limit and the transfer restrictions imposed on the National Employment Savings Trust (NEST) pension scheme from 1 April 2017.
NEST is the workplace pension set up by government to ensure that all employers have access to a scheme with which to meet their automatic enrolment duties.
As well as giving more options for individuals the approved regulations allow employers to initiate the transfer, without members’ consent, of accrued rights into or out of NEST
The annual NEST contribution limit for 2014/15 was £4,600.
At the time of this vote the only circumstances in which funds could be transferred into a NEST pension were:
- a court has awarded you a share of an ex-spouse or civil partner’s retirement pot in a divorce or at the end of a civil partnership
- it’s from an occupational pension scheme in which you’ve saved for more than three months but less than two years.
There was also a scheme for paying an "early leaver cash transfer" from a previous pension scheme into a NEST account.
The NEST Order and Rules also permitted transfers out in the case of divorce. The rules required transfers out to only be made in cases of incapacity or reaching the minimum pension age and require such transfers be to other pension schemes.
This vote was taken in the context of recently introduced greater flexibility for those reaching minimum pension age offering people a greater choices over what to do with their pension funds.
The motion supported by the majority of MPs taking part in this vote was:
- That the draft National Employment Savings Trust (Amendment) Order 2015, which was laid before this House on 16 December 2014, be approved.
-  Explanatory memorandum to the National Employment Savings Trust (Amendment) Order 2015
-  National Employment Savings Trust members' Frequently Asked Questions
-  "Adding an early leaver cashtransfer to your NEST retirement pot" (PDF) from the National Employment Savings Trust
-  NEST Order and Rules (PDF) Version applicable from April 2013
-  Pension Flexibility 2015 - Government policy paper
Votes by party, red entries are votes against the majority for that party.
What is Tell? '+1 tell' means that in addition one member of that party was a teller for that division lobby.
What are Boths? An MP can vote both aye and no in the same division. The boths page explains this.
What is Turnout? This is measured against the total membership of the party at the time of the vote.
|Party||Majority (Aye)||Minority (No)||Both||Turnout|
|Con||222 (+1 tell)||0||0||73.6%|
|Lab||0||50 (+2 tell)||0||20.2%|
|LDem||38 (+1 tell)||0||0||69.6%|