first_imgVan Olphen told IPE in May the main goal of the cooperation plans between the three pension providers – representing €833bn of assets and 8.7 million workers and pensioners – was to cut costs through increased efficiency and scale as well as by setting standards that could be applied by the entire sector.The APG spokesperson said cost cuts were indeed achievable, but the efforts required to realise these were deemed too large for the project to be feasible.The idea of a shared service centre was initated by the five large clients of the three pension providers – ABP, PFZW, PMT, PME and BpfBouw – and considerations had been on-going since September.Interestingly, three smaller pension providers Pensioenfonds PGB, Achmea and ICT service provider CGI announced plans for a similar cooperation last week.Achmea stated that it acquired part of IT company InAdmin RiskCo along with PGB and are in line to set up an administration platform.APG did not exclude the cooperation talks with PGGM and MN will be resumed in the future. The spokesperson stressed the possible loss of the pension providers’ VAT exemption that could result from the establishment of a shared service centre – this was mentioned in May as a possible obstacle – did not play a role in the decision to abandon the plans.To read the digital edition of IPE’s latest magazine click here. Pension providers and asset managers APG, PGGM and MN, which manage the assets of the largest five pension funds in the Netherlands, have decided not to follow through with plans to set up a shared service centre.APG chief executive officer Gerard van Olphen told IPE in May the three pension providers had explored the possibility to set common standards for collecting pension contributions as well as paying benefits. He cited banks and insurers as examples.However, an APG spokesperson told Pensioen Pro the trio had concluded last month that setting up a new shared service centre would take too much time and attention, at a time when the introduction of the new pensions contract will increase the workload of the three pension providers anyway.‘The providers have chosen to fully focus on the implementation of the new pensions contract instead,’ the spokesperson said.last_img

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