DWP retirement CDC pension schemes: consultation closed, government has responded to one chapter
The Department for Work and Pensions (DWP) has closed its consultation on a new type of collective pension scheme (CDC) for people already retired. So far the government has published a response to one chapter.
Author: Editorial teamPublished: 2 min read
The Department for Work and Pensions (DWP) held a public consultation on a policy framework for a new type of Collective Defined Contribution (CDC) pension scheme, to be used only by people who are already retired. GOV.UK now lists the consultation as concluded.
The idea
According to the DWP, the proposal is for a new type of Collective Money Purchase Scheme, commonly known as CDC. It would be open to pensioner members only and called a "Retirement CDC" scheme.
Someone who has saved in an ordinary Defined Contribution (DC) pension could transfer their pot at retirement into a collective fund. The fund, run by trustees, would pay an income for life. The amount would be adjusted each year depending on investment performance and the scheme's sustainability.
How the consultation ran
The consultation opened on 23 October 2025 and ran until 4 December 2025. The DWP published a 25-page options assessment alongside it.
The page also carries the government's response to Chapter 9 of the consultation. It covers draft changes to the Occupational Pension Schemes (Preservation of Benefit) Regulations 1991. The amending regulations have also been published: The Occupational Pension Schemes (Preservation of Benefit) (Amendment) Regulations 2026. The page was updated on 3 June 2026.
The change applies to schemes or sections authorised under Part 1 of the Pension Schemes Act 2021. The DWP has also amended its guidance on bulk transfers without member consent to reflect it.
The DWP also points to a separate government response to a consultation on extending CDC to whole-life schemes run by multiple unconnected employers.
What this means for you
At this stage nothing changes for individual pensioners or people saving for retirement. The page describes policy proposals and regulations, not a finished product for customers. The material does not say when such schemes might operate. People saving in UK DC pensions should follow further DWP announcements. Before deciding to move any savings, it is worth using free guidance such as Pension Wise or MoneyHelper.
Sources
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Photos
- Cover: „couple, love, marriage, elderly, togetherness”, author: MabelAmber, licence Pixabay Content License; cropped or resized.
- Photo 1: „seniors, eventide, miniature figures, save up, retirement provision”, author: wir_sind_klein, licence Pixabay Content License; cropped or resized.
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