EU pension plan to help on-the-move expats

The new products would have the same features wherever they were sold in the European Union's current 28 countries, the European Commission said.

EU pension plan to help on-the-move expats

World Bulletin / News Desk

The EU unveiled plans Thursday for new European pension schemes that could be used by people when moving between countries on the continent.

They could be offered by a range of providers including banks, pension funds and insurance companies, but would be subject to one set of EU rules.

European Commission vice president Valdis Dombrovskis said it was an "important milestone" in a union which has the free movement of people as one of its guiding lights.

"Savers would be able to move their pension plan across national borders without switching provider," Dombrovskis said.

"Many stand to benefit from this, such as mobile workers, students studying for a degree in another EU country, and those wanting to retire abroad."

The aim was also to boost the number of people saving for old age in an increasingly ageing continent, the commission said.

Only 27 percent of Europeans between the ages of 25 and 59 save towards a private pension, it said.

Meanwhile the EU is facing an "unprecedented demographic challenge" with there set to be one retired person for every two of working age by 2060, compared with one retired person to every four of working age now, it added.

The plan -- dubbed the PEPP (Pan-European Personal Pension Product -- must first be approved by member states to take effect.

Güncelleme Tarihi: 29 Haziran 2017, 16:24