Govt shortlists shops for pensions drive

The Government is planning a high-profile campaign to encourage people on low incomes to take out stakeholder pensions.

The Government is planning a high-profile campaign to encourage

people on low incomes to take out stakeholder pensions.



A shortlist of agencies has been drawn up and includes Lowe Lintas &

Partners, D’Arcy, Delaney Lund Knox Warren & Partners and one unnamed

agency. The account is expected to be worth pounds 10 million.



A spokesman for the Department of Social Security, which is

co-ordinating the search, said: ’We can’t say that much on this issue as

it is confidential.



We can confirm that we are talking to agencies about a financial

services campaign in the area of stakeholder pensions.’



Alistair Darling, the social security secretary, will launch stakeholder

pensions on 1 April next year. They are aimed at people with an income

of between pounds 9,000 and pounds 18,500, and will have a maximum

annual charge of 1 per cent, a minimum contribution of pounds 20 a

month, no exit charges, no fees on transfer and a maximum contribution

of pounds 3,600 a year.



But the proposed scale of the drive has attracted criticism because it

could overlap with the pounds 15 million Savings and Long-Term Risk

campaign launch, co-ordinated by the Association of British Insurers,

which is scheduled for the summer through Abbott Mead Vickers BBDO. It

is also designed to encourage people to take out pensions.