Capita Employee Benefits has teamed up with pension provider LV= and two advice firms Foster Denovo and Towry to launch a new advice service for employees nearing retirement.
The newly launched service, known as At Retirement, will enable employers to offer advice services to their employees.
The service is aimed at employers and trustees with defined contribution schemes, and will offer three tiers of advice: non-advised, robo-advised and fully advised options.
Non-advised and the robo-advised options will be provided by LV=, while full advice will be offered by either Foster Denovo or Towry.
Foster Denovo said that non-advised is developed for members who know what retirement strategy they want, which may typically include an annuity purchase; robo-advice is designed for relatively straightforward, medium sized pots, which is backed up by telephone support from regulated advisers.
Full advice, which will be either face-to-face or telephone-based advice, is designed for employees with typically larger pots, more complex needs, or those who don’t want to use an online service.
At Retirement will be headed up by newly hired Rob Tinsley, who recently joined from Aspire to Retire, the company added.
Capita Employee Benefits head of DC Gary Smith said: “We know that not enough people are willing to pay for advice upon retirement, with most wanting that service to be offered by their employers while they are still in the workplace.
“Not only will our At Retirement service help minimise that risk, it will help employers demonstrate good governance and offer an enhanced retirement process to their valued employees. What’s more, we hope it will also increase member engagement with their pension schemes, and improve outcomes by safeguarding their financial welfare.”
LV= retirement solutions managing director John Perks said: “LV= is delighted to be working with Capita to offer their members a convenient, affordable solution and help make regulated advice more accessible, even for those with smaller pots.”
Foster Denovo CEO Roger Brosch said: "We have always advocated the need for financial wellbeing in the workplace. It is therefore extremely positive to see Capita supporting its clients’ employees in this way, and to be involved in something that has the potential to affect many lives."