Pan-European Personal Pension Product (Regulation)

The EU Commission wants to create a framework for a pan-European Personal Pension Product (PEPP). An internal market for personal pensions will promote competition, channel savings towards the capital markets and away from traditional savings deposits in banks and increase the distribution of personal pension products in the EU.


cep considers it doubtful whether the PEPP Regulation will facilitate an internal market for pension products. Not only does the Regulation leave the socio-political differences in the individual EU Member States untouched; the EU Commission, by only using a non-binding recommendation, also fails to properly tackle the tax differences, such as whether taxation should take place in the paying-in phase or not until the paying-out phase.