Nest has appointed WTW and Hymans Robertson to help develop a new retirement income offering for defined contribution (DC) retirees.

Announcing the appointment, Nest said that it is looking to build on its products, services, guidance and tools to provide members with a life-long, sustainable income, whilst retaining the benefits of flexibility introduced by pension freedoms.

Nest head of retirement, Mark Rowlands, said: “One in three of the working population is expected to have a Nest pension pot by the late 2020s, and we want to ensure their journey to retirement is as seamless as their savings journey with Nest.

"We know our members want a decumulation product which provides some flexibility in the early years of retirement, but also provides sustainable lifelong income as a wage replacement, so that it’s in place by the time our members need it.

"WTW and Hymans Robertson’s experience in these areas and their market leading expertise in retirement offering design, modelling, investment and insurance solutions, member support and engagement, means they are well placed to help us develop solutions that will help our members make the most of their savings throughout their retired lives.”

Hymans Robertson head of DC markets, Paul Waters, also stressed the need for innovative retirement solutions to help address the "profound retirement adequacy challenge", and help savers manage complex decisions at retirement.

"Nest’s groundbreaking work here is leading the way and we know from experience, where Nest innovate and lead others then follow, enabling wider industry change," he continued.

"We are delighted to be working with Nest, using our pension and insurance market expertise to help design and implement this important initiative, helping millions of savers”

Adding to this, WTW senior actuary, Simon Eagle, said: “Working with the UK’s largest DC pension scheme to deliver innovative new solutions for members is a real privilege.

"We are delighted to be assisting Nest so broadly to advance their retirement proposition and support the development of a member engagement approach in the lead up to, and in, retirement.

"Our experience in this area and the wide range of expertise we can draw on from across our business, make this a very exciting challenge with outcomes that are likely to benefit members for years to come.”

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