The use of Cookies
on the IMA website

Like most websites the IMA uses cookies. By continuing to browse our site you are agreeing to the terms and conditions of our cookie policy.

Member area login

Consumer website

Press Release

Monday 26 March 2012


In response to the Department of Work and Pensions (DWP) consultation on pension small pots, the IMA supports the ‘pot follows member’ option. This will help keep members engaged with their pensions and supports the employer’s role in pension savings. 

The IMA believes that the alternative option - the aggregator model - may not achieve the DWP’s primary goal of avoiding stranded small pots. Furthermore, there are difficult commercial issues with respect to how consolidation might operate. 

The IMA suggests that the ‘pot follows member’ approach should include an upper limit to ensure a real focus on small pots. Consideration should also be given to the expected administrative burdens and legal constraints, particularly if applied to existing pension contracts.

At a broader level, the IMA recommends a ‘bigger fat pot’ project which would bring together state and pension pots in their entirety. A combined statement for all pension savers should be an explicit aspiration.

Jonathan Lipkin, Head of Research and Pensions said:

“Small pots can be a barrier to member engagement and a considerable drain on the system.  Addressing this issue is a welcome step towards a more efficient pensions system.

“But pension savers also need to be given the full picture. Providing members with the total value of all of their pensions combined in one simple document will help give savers a realistic idea of how much they will get in retirement.”


Read the IMA response here.

For further information please contact:

Mona Patel, Head of Communications - 020 7831 0898 or 07834 089332
Navdeep Sidhu, Press Officer - 020 7831 0898 or 07843 517618
Christina Bridge, Press Assistant - 020 7831 0898

Notes for Editors

The IMA is the trade body for the UK's £4 trillion asset management industry. 

The money its members manage is in a wide variety of investment vehicles including authorised investment funds, pension funds and stocks and shares ISAs. 

Our purpose is to support and promote a commercially successful and growing UK investment management industry as we seek to improve the financial outcomes for customers - savers and investors.
IMA website -

Investment management association