Circle of Trust
- The customer needs to prove to the system that they are who they say they are. This circle of trust is the essential part of the system. They can do this by entering some identifying information into a third party ID service (such as gov.uk/verify or Experian).
- The customer must then give online consent for that dashboard to send identifying information out into the wild to hunt down hidden benefits (this also deals with the consent element of GDPR).
- Each connected pension benefit system (or ISP) will then receive a request, try to match that record with someone in their scheme and, where successful, respond with some benefit data. As well as data concerns to address, schemes of all sizes will need to think about how they might deal with the added traffic of potentially many, many thousands of dashboard requests. This is one area where ISPs will add value.
- The Dashboard collates the information found and presents it online. It will be up to each Dashboard provider to decide how such information is displayed, modelled and interacted with. Whilst initial, early take up of the Dashboard will not be mandatory, there are benefits to getting Dashboard ready before any proposed regulations are passed.
Margaret Snowdon, PASA chair:
We know that when employees understand the benefits provided by their employer they appreciate them more, and this contributes to their productivity and goodwill, so there are benefits in being part of the pension dashboard.
Why Not Be On The Dashboard?
Alternatively we can look at it the other way around. What if your scheme wasn’t on the dashboard? How much additional work will be caused for your firm anyway because member interest has been piqued?
It is important to consider that lack of compulsion should not be used as an excuse to do nothing. The introduction of the Dashboard isn’t the only reason to clean up your scheme data: it’s the right thing to do, because you need to be sure you are administering and paying pensions correctly. Indeed, the Dashboard will ask nothing more of you than any member can ask you directly but the volumes are likely to increase
Reviewing Standard Tests
For our part, in parallel to writing the guidance note with PASA we will also be reviewing the standard tests in DataSure. This well-established data quality analysis suite will therefore enable schemes to easily check they are Dashboard-ready. Our software teams and admin operations are also looking at the programmes and procedures we need to line up to allow schemes to connect and communicate with the dashboards.
For our industry the pensions Dashboard represents an opportunity to make a step change in the effectiveness of pension communication and dramatically boost pension awareness and engagement among employees at a stroke.
But enough of what we think. What do you think? We’ll be coming to ask you your opinions of the Dashboard soon.