Personal Accounts

Well it is no surprise that it was announced by Tim Jones, the new head of the Personal Accounts Delivery Authority that the introduction of Personal Accounts (due 2012) may well be subject to delay. I would guess that the creation of a massive new Authority to administer and accommodate some 8 million new savers may well be taxing some minds in light of recent disasters with data. Even so, this is not going to go away and compulsory saving is here to stay. It is just over a year since the government issued its white paper on personal accounts and for the general public there's been very little said about it during 2007. Even if the date is delayed and that there is a three year buildup period where both employers and employees are allowed to increase contributions slowly we should start thinking about how these additional costs will impact our business model if we are employers and our budget if we are employees.