Policy-makers in the UK seldom learn from how other countries tackle problems. But an announcement from Amber Rudd, Work and Pensions Secretary, shows in the field of pensions at least, the UK is trying to learn from what has worked well in other countries.
Rudd’s announcement concerns a type of pension known as ‘Collective Defined Contribution (CDC)’, which is common elsewhere in Europe but not currently possible in the UK.
But what is CDC and how does it differ from what we currently have?
Two workplace pension types currently exist