Cost is a bit of a dirty word in the asset management industry. The impact of costs on investment returns rarely gets a mention at industry conferences. But the debate about the charging structure for the planned national pension scheme is pushing the issue up the agenda in the UK.

Due to be introduced in 2012, the personal accounts scheme will be an occupational pension scheme aimed at the lower paid. Making the scheme low cost has been a driving principle from the outset. Paul Myners, chairman of the Personal Accounts Delivery Authority, underlined that determination when he spoke at the National Association of Pension Funds’ investment conference in March.